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Investing

Quiz by Aryan Sharma

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9 questions
Show answers
  • Q1
    What is the primary purpose of investing?
    To avoid paying taxes
    To spend money immediately
    To grow wealth over time
    To eliminate debt entirely
    30s
  • Q2
    What is a stock?
    A government grant
    A share that represents ownership in a company
    A type of bond
    A savings account
    30s
  • Q3
    What is a bond?
    A share of ownership in a company
    A loan made by an investor to a borrower, typically corporate or governmental
    A type of bank account with high interest
    A guarantee of profit from investment
    30s
  • Q4
    What does it mean to invest for the long term?
    To hold investments for several years or decades to maximize growth
    To trade stocks daily for quick profits
    To borrow money for immediate investment
    To invest only in government bonds
    30s
  • Q5
    What is the purpose of a financial advisor?
    To provide guidance on investments and financial planning
    To manage government funds
    To offer loans to individuals
    To sell insurance policies only
    30s
  • Q6
    What is compound interest?
    Interest calculated on the initial principal and also on the accumulated interest from previous periods
    Interest paid only on the initial amount invested
    A penalty for early withdrawal
    A fixed rate of return regardless of investment duration
    30s
  • Q7
    What is the purpose of a stock market?
    To manage personal savings accounts
    To provide loans to businesses
    To create new companies from scratch
    To facilitate the buying and selling of shares in publicly traded companies
    30s
  • Q8
    What does it mean to diversify an investment portfolio?
    To spread investments across different assets to reduce risk
    To only invest in foreign markets
    To invest all money in one stock
    To focus solely on real estate investments
    30s
  • Q9

    Challenge Question: Which of the animals could be used to describe a market

    Chameleon

    Bear

    Tiger

    Lion

    30s

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