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Finance Basics: True or False

Yes or No

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Quick finance facts quiz

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Finance Basics: True or False
 

Finance Basics: True or FalseOnline version

Quick finance facts quiz

by insel olcaytu
1

Budgeting helps track income and expenses.

2

Inflation increases purchasing power.

3

A credit score affects loan terms and interest rates.

4

Bonds always beat stocks in the long term.

5

Diversification reduces portfolio risk.

6

A high-interest rate always guarantees a higher return.

7

Interest compounding increases the amount you owe or save over time.

8

Budgeting is only about restricting spending.

9

Liquidity means you must sell an asset quickly at a loss.

10

Inflation reduces purchasing power.

11

Budgeting helps plan income and expenses to meet goals.

12

Savings accounts always outperform investments in the long term.

13

Finance examines how money is earned, spent, saved, borrowed, and invested.

14

Money has the same value tomorrow as today (no time value of money).

15

A higher credit score guarantees zero interest charges on loans.

16

Inflation measures how prices rise over time and erode purchasing power.

17

Stocks are guaranteed to provide fixed dividends.

18

Diversification aims to reduce risk by spreading investments.

19

Interest is the price paid for using someone else's money.

20

A budget is only useful for individuals, never for businesses.

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