Can You Answer These Three Questions About Money?

Question

It seems like everyone is knocking millennials these days. The latest attack? That the young ****** know very little about managing money. A recent study at San Diego State University asked young Americans three questions about basic financial knowledge. On average, respondents could only answer 1.8 questions correctly, with only about 25 percent getting all three right. Here are the questions.

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1) Do you think that the following statement is true or false? Buying a single company stock usually provides a safer return than a stock mutual fund.

2) Suppose you had $100 in a savings account and the interest rate was 2% per year. After 5 years, how much do you think you would have in the account if you left the money to grow: More than $102, exactly $102, or less than $102?

3) Imagine that the interest rate on your savings account was 1% per year and inflation was 2% per year. After 1 year, would you be able to buy more than, exactly the same as, or less than today with the money in this account?

So, do you know the answers to these three questions about money? You can find the answers at the bottom of this TIME piece.

Answer 1

as kids they said "I WANT THAT and the GOT IT"

Answer 2

We are certainly doomed if these people are representative of the future electorate.

Answer 3

If that is what you think I feel... I don't know what to tell ya... I guess ****

Answer 4

A more interesting question would be to ask people to figure out exactly how much money would be in the account after 5 years. If you start with $100 and interest is 2% an approximation would be an additional $2/year or $110 after 5 years. But in reality the interest for the second year would be based on $102 not $100. The second would be based on $104 plus some change. etc.

Answer 5

Without looking at the comments.
1) False.
2) More than $102 - $110.41 to be exact.
3) You would be able to purchase less with the money in this account than they year before.
Questions 2 and 3 aren't even money questions though, they are math questions.

Answer 6

Yes, and 2-3 aren't even 6th grade math. No idea how anyone who got into university could fail to know the answers.

Answer 7

I got them all right. The last 2 questions are more math equations than they are money problems. Shows you what the kids are not learning in school these days.

Answer 8

Maybe don't know muck about currency

Answer 9

Nailed all three of them. Maybe I'll be the richest millennial some day.

Answer 10

I got them right but Im far from a pro,but to get along in todays world you have to know some basic knowledge of math.Or you would put your husband in the poor house!!

Answer 11

I did answered It was not in details!!

Answer 12

I got them all right, although I wasn't too confident in my answers.

Answer 13

I correctly answered those common sense questions and I am far from a money expert.

Answer 14

I got all three right, but I had to think for a bit, and I'm pretty sure I would fail other questions.

Answer 15

Kids should be able to answer these questions before they leave elementary school.

Answer 16

I'm also very dubious about the the results of the study, how it was administered, etc.... If you do this 'man on the street style' (verbal questions by an interviewer) these results might makes sense but written down on paper this is difficult to believe. These don't really measure financial literacy as much as common sense.

Answer 17

.... ****, I was hoping to be the first on ' No Idea ' .... Day Late & a Dollar Short, imagine that.

Stick yer' cash under the mattress .... if the bank is only giving 1 - 2 %, they don't deserve your money, hide it.

Answer 18

And if inflation is 2%?

Answer 19

Uh, no, you did not.

It was just a non-grammatical, Jew-hating diatribe. (look that word up)

Answer 20

.... so I guess you cannot answer the questions, eh?

Answer 21

I can't believe the questions were dumbed down to that level and still people couldn't get all three right.

Answer 22

Those are easy questions.

Answer 23

.....which is proof our schools are a failure

Answer 24

Missed the 1st one, got the last 2 right.

Answer 25

I'm in economics right now :D

Answer 26

1)...a single company stock? Unless you hit the right one (i.e. early apple).....go with the mutual
2)...more than 102$....after 5 years....roughly 110
3)...inflation has lost you money

Answer 27

1. False
2. Well after paying banking fees you *** up with less money unless you have more than $300 on your savings. However you will make a little over $10 within the five years.
3. less.

Answer 28

DIE SPAMMER !!!!

Answer 29

1. False.
2. A little over $110
3. You'd be able to buy less.

If that's all it takes to be a pro, I think I know why the economy is f**ked.

Answer 30

But I have a degree in economics, so pretty easy.

Answer 31

Yes, that must be it, I must hate Jews since I object to clichés/stereotypes... Look up the word cliché. Look up stereotype while you're at it. You seem to think it's ok to classify a whole people in this way since you seem totally unaware that Jews have been persecuted for the exaggerated uses of that very stereotype you are teaching us all about. What will you inform us of next, that African Americans love fried chicken and eat a lot of watermelon? I look forward to more of these sociological lectures of yours, Genius.

Answer 32

so, if someone does NOT have a degree in economics, does he have a hope here?

Answer 33

Simple math really.

Answer 34

In New Jersey as a Freshman you are required to take a class called Financial Literacy that teaches you about this stuff but I really don't understand much of it.

Answer 35

I can answer you that if you saved like in the 20's you will have more in return after 5 years or better ask a Jew they will tell you better than anyone in this world, they are known as money savers and that was one of the reasons why Hitler went after them and killed them

Cheers

Answer 36

Are these things you've recently uncovered about Jews and WWII? Fascinating...

Answer 37

I know a lot about WWII but is the truth

Answer 38

I'm sure you do. You've learned a couple of Jewish cliches anyway.

Answer 39

lol no it is the truth... it's not a Cliché, do you hate Jews?

Answer 40

It's kind of disturbing that 34 votes (at this time) said No Idea. Please don't let these people vote for Democrats!