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Investment Fundamentals 101 Quiz

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Investment Fundamentals 101: a General level Bank Exam Prep quiz. Test your knowledge with 14 questions!

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Questions

Question 1

What does buying a stock represent?

A Loaning money to a company

B Ownership in a company

C A fixed interest payment

D A government guarantee

Question 2

What is a bond?

A A debt instrument

B A high-risk commodity

C A share of a corporation

D A type of savings account

Question 3

Which asset generally carries the highest risk?

A Fixed deposits

B Individual stocks

C Government bonds

D Savings accounts

Question 4

What is a dividend?

A A type of tax penalty

B A portion of profits paid to shareholders

C A government bond yield

D A fee paid to a broker

Question 5

What is 'diversification'?

A Buying only stocks

B Keeping cash in a locker

C Investing in only one company

D Spreading investments to reduce risk

📋 This quiz has 14 questions in total.