1. Suppose you have $100 in a savings account earning 2 percent interest a year. After five years, how much would you have?

More than $102 Exactly $102 Less than $102 Don't Know

2. Imagine that the interest rate on your savings account is 1 percent a year and inflation is 2 percent a year. After one year, would the money in the account buy more than it does today, exactly the same, or less than today?

More Same Less Don't Know

3. If interest rates rise, what will typically happen to bond prices?

Rise Fall Stay the Same No Relationship Don't Know

4. True or false: A 15-year mortgage typically requires higher monthly payments than a 30-year mortgage but the total interest over the life of the loan will be less.

True False Don't Know

5. True or false: Buying a single company's stock usually provides a safer return than a stock mutual fund.

True False Don't Know

6. Suppose you owe $1,000 on a loan and the interest rate you are charged is 20% per year compounded annually. If you didn't pay anything off, at this interest rate, how many years would it take for the amount you owe to double?

Less than 2 years 2 to 4 years 5 to 9 years 10 or more years Don't Know

7. Which of the following indicates the highest probability of getting a particular disease?

One-in-twenty chance 2% of the population 25 out of 1,000 Don't Know

8. Suppose that, if you invested 100,000 yen, you would get either of the following at a 50% probability: a capital gain of 20,000 yen, or a capital loss of 10,000 yen. What would you do?

Invest Not Invest

9. Which asset has historically been the most profitable investment?

Real estate Stocks Bonds Gold