Basic Finance Termonology

Learn the basics of finance step by step. This quiz starts with the simplest ideas, what a security is, how debt and equity work, and the difference between stocks and bonds, before moving into exchanges, markets, and beginner investing terms. A perfect introduction for anyone starting their finance journey.

Quiz by

Rate:

Last updated: December 3, 2025

You have not attempted this quiz yet.

More quiz info >>

First submitted	December 3, 2025
Times taken	252
Average score	48.4%
Report this quiz	Report

Quiz and answer stats >>

Friends stats >>

5:00

Enter answer here

/ 31 guessed

The quiz is paused. You have remaining.

Copied!

Scoring

You scored / = %

This beats or equals % of test takers also scored 100%

The average score is

Your high score is

Your fastest time is

more stats >>

friends stats >>

Keep scrolling down for answers and more stats ...

Hint	Answer
A tradable financial asset that represents ownership or debt	Security
Money borrowed that must be repaid	Debt
Ownership in a company	Equity
An equity security representing ownership	Stock/Share
A debt security representing borrowing	Bond
One individual unit of stock	Stock/Share
A marketplace where securities are traded	Exchange
The largest traditional U.S. stock exchange	NYSE (New York Stock Exchange)
A major U.S. electronic stock exchange	NASDAQ
A collection of securities that can be tracked and serve as a benchmark	Index
Index of 30 major U.S. companies	Dow Jones
Index of 500 major U.S. companies	S&P 500
Total value of all shares of a company	Market Cap
A company's first time selling stock to the public	IPO
How easily an asset can be traded for cash	Liquidity
The percent return on an investment	Yield
Cash paid to equity owners/shareholders	Dividend
Money earned after expenses	Profit
The price at which you can buy a security	Ask
The price at which someone will buy from you	Bid
The difference between bid and ask prices	Spread
A pooled investment holding many securities	Fund
A fund traded on an exchange like a stock	ETF
A fund bought and sold only at end-of-day price	Mutual Fund
The cost of borrowing money	Interest
The amount borrowed or invested initially	Principal
A bank account that earns interest	Savings Account
A type of interest that builds on itself (the secret to wealth)	Compound Interest
A broad decline in the market (10%+)	Correction
A very large market decline (20%+)	Bear Market
A long period of rising stock prices	Bull Market