Dave Ramsey Finance Chapter 12
Test 2025 with complete verified
solutions
Usually, the more liquid an asset is (like cash in the bank), the less return
you can expect.
true
false - answer True
Be aware of any ____ you might receive, but don't bank on it as a key part
of your retirement plan.
A. Tax refunds
B. Inheritance
C. Bonus checks
D. Additional work - answer B
The three components of compound growth are money, time and ____.
A. A large paycheck
B. Investments
C. Retirement
D. Rate of return - answer D
You should wait to be generous until you have money to give.
true
false - answer False
What is the fifth foundation?
A. Pay cash for your home
B. Build wealth and give.
, C. Save for retirement.
D. Pay cash for college. - answer B
A security that represents part ownership of a company is call a(n) ____
A. Stock
B. Bond
C. Certificate of Deposit
D. Annuity - answer A
When you invest in a mutual fund, you are contributing to a pool of money
that will be...
A. Given to hundreds of local charities in your area
B. Invested in a mix of stocks, bonds and money market accounts
C. Taxed based on each individual investor's annual salary
D. Put into a separate savings account for your children to inherit
someday - answer B
Diversification reduces ____ by using a mix of investment types in your
portfolio.
A. Income
B. Retirement funds
C. Risk
D. Mutual funds - answer C
____ is the process of figuring out how much money you'll need in
retirement and creating a plan to get there.
A. Investment banking
B. Outrageous generosity
C. Retirement planning
D. Retirement accounting - answer C
Test 2025 with complete verified
solutions
Usually, the more liquid an asset is (like cash in the bank), the less return
you can expect.
true
false - answer True
Be aware of any ____ you might receive, but don't bank on it as a key part
of your retirement plan.
A. Tax refunds
B. Inheritance
C. Bonus checks
D. Additional work - answer B
The three components of compound growth are money, time and ____.
A. A large paycheck
B. Investments
C. Retirement
D. Rate of return - answer D
You should wait to be generous until you have money to give.
true
false - answer False
What is the fifth foundation?
A. Pay cash for your home
B. Build wealth and give.
, C. Save for retirement.
D. Pay cash for college. - answer B
A security that represents part ownership of a company is call a(n) ____
A. Stock
B. Bond
C. Certificate of Deposit
D. Annuity - answer A
When you invest in a mutual fund, you are contributing to a pool of money
that will be...
A. Given to hundreds of local charities in your area
B. Invested in a mix of stocks, bonds and money market accounts
C. Taxed based on each individual investor's annual salary
D. Put into a separate savings account for your children to inherit
someday - answer B
Diversification reduces ____ by using a mix of investment types in your
portfolio.
A. Income
B. Retirement funds
C. Risk
D. Mutual funds - answer C
____ is the process of figuring out how much money you'll need in
retirement and creating a plan to get there.
A. Investment banking
B. Outrageous generosity
C. Retirement planning
D. Retirement accounting - answer C
