Wise Financial Literacy Test UPDATED
ACTUAL Questions and CORRECT
Answers
If you have a whole life insurance policy with a cash surrender value, and you surrender the
policy, what will you receive? - CORRECT ANSWER - a calculated amount of money
which includes part of the premiums paid as well as the interest on that money (because they're
not going to give you the whole amount back)
What is capital gain? - CORRECT ANSWER - Income on stocks
What is a bull/bear market? - CORRECT ANSWER - A bull market is a promising market
(bull attacks up)
A bear market is a market that isn't doing well (bear attacks down)
What is an exemption? - CORRECT ANSWER - the amounts of money you get taken
away from taxes for having dependents
Annual deductible - CORRECT ANSWER - What you have to pay in the beginning of the
year before insurance kicks in
Managed Health Care Plan - CORRECT ANSWER - -you have to go to your primary care
physician who determines whether you should see a specialist
-co-pays at the primary care physician
What is the only type of life insurance without a cash value? - CORRECT ANSWER -
Term
When you reinvest dividends, what does that go towards buying? - CORRECT
ANSWER - More of the same stock
ACTUAL Questions and CORRECT
Answers
If you have a whole life insurance policy with a cash surrender value, and you surrender the
policy, what will you receive? - CORRECT ANSWER - a calculated amount of money
which includes part of the premiums paid as well as the interest on that money (because they're
not going to give you the whole amount back)
What is capital gain? - CORRECT ANSWER - Income on stocks
What is a bull/bear market? - CORRECT ANSWER - A bull market is a promising market
(bull attacks up)
A bear market is a market that isn't doing well (bear attacks down)
What is an exemption? - CORRECT ANSWER - the amounts of money you get taken
away from taxes for having dependents
Annual deductible - CORRECT ANSWER - What you have to pay in the beginning of the
year before insurance kicks in
Managed Health Care Plan - CORRECT ANSWER - -you have to go to your primary care
physician who determines whether you should see a specialist
-co-pays at the primary care physician
What is the only type of life insurance without a cash value? - CORRECT ANSWER -
Term
When you reinvest dividends, what does that go towards buying? - CORRECT
ANSWER - More of the same stock
