There is no predictable relationship between risk and return
The lower the risk the higher the potential return
All investments have the same degree of risk
The higher the risk the higher the potential return
Which of the following investment options above are covered by FDIC insurance?
Commodities
Real Estate
Bonds
Savings accounts
Mutual funds
Checking accounts
Stocks
Certificates of deposit
Which of the following investment options above would NOT be appropriate for a short term savings goal?
Savings account
Checking account
Certificate of deposit
Stocks
Ben is choosing between 2 savings accounts. Both accounts pay 3% interest. Account X pays compound interest while account Y pays simple interest. Ben should choose account X because
the interest would be tax free
the interest rate would increase over time
the interest rate would decrease over time
it would pay interest on interest
When shopping for a loan from different lenders what's the first thing to consider?
