Longterm Investment Test Long-Term Investing Knowledge Test Instructions: Answer all 25 questions. Each question is worth 4 points. Total score: 100 points. Attempt Limit: You may take this test up to 3 times using the same email address. Student Name Student Email 1. What should investors do before buying a stock or crypto asset? Research the asset, risks, fundamentals, and long-term potential Ignore all risk Ask strangers only Buy immediately based on hype 2. What is the P/E ratio? Public equity rule Profit exchange return Premium earnings rate Price-to-earnings ratio 3. What is a crypto token? A physical coin A digital asset built on an existing blockchain A company share A bank card 4. What is Ethereum known for? Only paying dividends Only tracking the S&P 500 Smart contracts and decentralized applications Only being a bank account 5. What is a crypto coin? A stock certificate A token built only on another blockchain A bond A cryptocurrency with its own blockchain 6. What is EPS? Earnings per share Exchange payment system Estimated profit signal Equity protection strategy 7. What is crypto market capitalization? Daily exchange fee Token price multiplied by circulating supply Total number of wallets only The founder’s salary 8. What is a stock? A share of ownership in a company A tax form A bank loan A crypto wallet 9. Why is long-term investing important? It guarantees daily profit It removes all risk It allows time for compounding and market growth It avoids all market downturns 10. What is staking? Buying a stock Using leverage Printing money Locking crypto to help secure a network and possibly earn rewards 11. What is the main benefit of a long time horizon? More time to recover from downturns and benefit from growth No market risk No need to diversify Guaranteed profit every month 12. What is price appreciation? When a stock stops trading When a broker charges a fee When a company changes its name When an investment increases in value 13. What is crypto adoption? A password reset process A broker fee More people, businesses, or institutions using a crypto network A stock split 14. Why should investors compare companies within the same industry? It helps evaluate relative strength and valuation It guarantees profit It avoids research It removes volatility 15. What is a cold wallet? A wallet connected to the internet A stock account A bank app A crypto wallet stored offline 16. What is the risk of keeping all crypto on an exchange? The funds become automatically insured The exchange could be hacked, frozen, or fail Private keys become stronger Crypto becomes risk-free 17. What is volatility? Large or frequent price movement Guaranteed growth A broker login A tax benefit 18. What is diversification? Avoiding all investing Putting everything into one crypto Buying only one stock Spreading investments across different assets 19. Why should private keys never be shared? They are used only for taxes They are public information They expire every day Anyone with the key can control the crypto 20. What is a private key? A broker fee A secret code that gives access to crypto A stock ticker A public username 21. Why are ETFs and index funds useful for long-term investors? They guarantee profits They provide diversification and simplicity They avoid all risk They never decline 22. What is the S&P 500? An index of about 500 large U.S. companies A single company A crypto exchange A bank account 23. What is long-term investing? Trying to get rich overnight Using only leverage Buying and selling every minute Buying and holding assets for years with the goal of growth over time 24. What is market capitalization? A dividend date Share price multiplied by shares outstanding A company’s rent A crypto password 25. What is a dividend? A crypto mining reward only A loan payment A broker password A payment some companies make to shareholders Submit Test