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Finance & Investment Quiz

Finance & Investment · Trade Quiz

11 questions · Unlimited attempts · Free online practice

Money affects almost every part of our lives, from buying a home and starting a business to saving for retirement or planning a vacation. Understanding finance and investment helps...

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All 11 questions in this Finance & Investment quiz
  1. What is 'Stock Market'?

    • A. Place where shares of companies are traded
    • B. A farmers market
    • C. Place to buy groceries
    • D. A bank
  2. What is 'Bear Market'?

    • A. No trade
    • B. Rising prices
    • C. Falling prices
    • D. Stable prices
  3. What is 'Portfolio'?

    • A. A leather bag
    • B. Monthly salary
    • C. Collection of financial investments
    • D. A loan
  4. What is 'T-Bill'?

    • A. Tax Bill
    • B. Treasury Bill (Short-term gov debt)
    • C. True Bill
    • D. Trade Bill
  5. What is an Exchange-Traded Fund (ETF)?

    • A. A basket of securities that trades on an exchange just like an individual stock
    • B. A government bond specifically designed to protect against inflation
    • C. A type of savings account that locks money in for a set period
    • D. A private equity fund available only to accredited investors
  6. How is a company's market capitalization (market cap) calculated?

    • A. By subtracting its total liabilities from its total assets
    • B. By multiplying its annual revenue by its profit margin
    • C. By multiplying its current share price by its total number of outstanding shares
    • D. By dividing its net income by the number of outstanding shares
  7. What does the acronym IPO stand for in the stock market?

    • A. Initial Public Offering
    • B. Internal Portfolio Optimization
    • C. International Pricing Option
    • D. Index Performance Output
  8. A broker's demand that an investor deposit additional money into their account to cover massive losses on trades made with borrowed money is called a:

    • A. Capital call
    • B. Margin call
    • C. Stop-loss order
    • D. Liquidation mandate
  9. The simultaneous purchase and sale of the exact same asset in different markets to completely profit from tiny discrepancies in the asset's listed price is called:

    • A. Hedging
    • B. Arbitrage
    • C. Speculation
    • D. Scalping
  10. Investment capital aggressively directed towards companies that are strictly not publicly traded on a stock exchange is broadly classified as:

    • A. Mutual fund investing
    • B. Retail investing
    • C. Private equity
    • D. Index fund investing
  11. A shell corporation listed on a stock exchange strictly for the massive purpose of acquiring a private company, thereby making it public without a traditional IPO, is called a:

    • A. Special Purpose Acquisition Company (SPAC)
    • B. Venture Capital Trust (VCT)
    • C. Private Equity Vehicle (PEV)
    • D. Holding Company