UWF-Bond/Stock/PS-Lucas

Word Cloud

Why invest in bonds?

Multiple Choice

What is the most common Bond?

• Corporate Bonds

• Municipal Bonds

• Government Bond

• International Market Bond

Open Ended

Are there any risks related to Bond?

Multiple Choice

Which Company below you will consider to buy its bond based on its default risk?

• Spirit Airlines

• Nissan Auto

• Bed Bath & Beyond

• Dillard's

​Key Differences:
Chapter 7 leads to the liquidation and closure of the business, whereas Chapter 11 allows the business to reorganize and attempt to stay operational. Chapter 7 is quicker and more final, while Chapter 11 is a longer, more complex process aimed at restructuring rather than dissolving the company.

​Examples:
Chapter 7: Typically used when a business is no longer viable, such as Circuit City and Toys "R" Us, which eventually liquidated after filing. Chapter 11: Frequently used by larger companies to restructure and survive, such as General Motors and Delta Airlines during past financial difficulties.

Stock Valuation
Part 1:Risk and Return

Bond VS Stock

High risk

​Stock

Lower Risk

Bond

Rates of Return

Stock Valuation-Part 2

How does a company decide the price of the stock when going to IPO?

Multiple Choice

What does IPO actually stand for?

• International Pizza Order

• Initial Public Offering

• Immediate Profit Opportunity

• Internal Price Option

Multiple Choice

When a company "Goes Public," what is it usually looking for?

• More followers on Instagram

• A new CEO

• A giant "pile of cash" to grow the business

• To change its name

Multiple Choice

Which of these famous companies is still "Private" (has NEVER had an IPO) as of today?

• Chick-fil-A

• Roblox

• Snapchat

• Ferrari

Multiple Choice

Traditionally, where do the founders of a company go to "Ring the Bell" to celebrate their first day of trading?

• The White House

• The New York Stock Exchange (Wall Street)

• The local bank

• Their high school gym

Multiple Choice

You own a boutique and sell a pair of limited-edition sneakers for $200. Five minutes later, you see the person you sold them to reselling them in the parking lot for $1,000.

Did you make a "successful" sale?

• Yes

• No

Multiple Choice

You own a boutique and sell a pair of limited-edition sneakers for $200. Five minutes later, you see the person you sold them to reselling them in the parking lot for $1,000.

Who got the $800 difference?

• You

• Reseller

Open Ended

If you were a business owner, how would you change your price for the next drop?

Multiple Choice

If you hire a broker to sell your house and they take a 7% commission, and the house sells for $1,000,000, how much cash actually hits your bank account?

• 1,000,000

• 930,000

• 70,000