EXAMINATION TEST 2026 FULL SOLVED
QUESTIONS AND SOLUTIONS
◉ A security that represents part ownership of a company is called
a(n) _____________.
A. Stock
B. Bond
C. Certificate of Deposit
D. Annuity. Answer: A.
◉ When you invest in a mutual fund, you are contributing to a pool
of money that will be . . .
A. Given to hundreds of local charities in your area
B. Invested in a mix of stocks, bonds and money market accounts
C. Taxed based on each individual investor's annual salary
D.Put into a separate savings account for your children to inherit
someday. Answer: B.
,◉ Diversification reduces your __________ by using a mix of
investment types in your portfolio.
A. Mutual funds
B. Risk
C. Retirement funds
D. Income. Answer: B.
◉ ____________ is the process of figuring out how much money you'll
need in retirement and creating a plan to get there.
A. Retirement accounting
B. Retirement planning
C. Outrageous generosity
D. Investment banking. Answer: B.
◉ _______ is the cure for ________.
A. Selfishness; thinking of others first
B. Generosity; selfishness
C. Love; the income gaps in our society
D. Investing wisely; estate planning. Answer: B.
,◉ Investing your money earns you more money because of . . .
A. Checking accounts
B. Mortgage payments
C. Compound growth
D. Short-term savings. Answer: C.
◉ When riding the highs and lows of the stock market, remember . . .
A. You can't go wrong when investing money into stocks.
B. It will level out, so stick with it!
C. It's unpredictable and risky. You should pull your money out and
steer clear.
D. The S&P isn't a reliable source when it comes to navigating the
growth and decline of stocks.. Answer: B.
◉ Roth IRA, 401(k), 403(b), 457, and Simplified Employee Pension
are all examples of ______________.
A. Tax forms
B. Mutual funds
, C. Retirement plans
D. Investment bankers. Answer: C.
◉ Before you invest, you should make sure a mutual fund has done
well for 5-10 years.
A. True
B. False. Answer: A.
◉ Social Security benefits are meant to ________ your income.
A. Replace 40% of
B. Tax 100% of
C. Decrease
D. Fully replace. Answer: A.
◉ Live like no one else now, so later you can live and ____ like no one
else.
A. Be selfish
B. Work hard
C. Hoard your resources