Investing Basics Trivia: Stocks, Bonds and Index Funds

What is compound interest?

• Interest paid only on the initial amount
• Interest earned on the principal and on accumulated interest
• A fee charged by banks
• Interest that never changes

What does buying a share of stock give you?

• A loan to the company
• A unit of ownership in a company
• A guaranteed profit
• A product discount

What is a bond?

• A share of company ownership
• A loan you make to a government or company in exchange for interest
• A type of bank account
• An insurance policy