What is a stock? activity

Stocks represent ownership in a corporation.

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People who invest in stocks cannot lose their money.

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Mark bought 100 shares of Intel stock. Each share sold for $35.50. If no fees were involved, Mark paid $3,550 for the shares.

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The price people pay for a stock is called a dividend.

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The closing price for a share of Walmart stock was $37.25. This means that the price of the share was $37 and one-quarter of a dollar. One quarter of a dollar is $0.20.

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People who own stocks are guaranteed a return on the money they have invested in stocks.

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The only way stockholders make money is through dividend payments while they own the stock.

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One way stockholders make money is by selling their stock for more money than they paid for it.

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Stockholders can reduce the risk on their stock investment by diversifying their portfolios.

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The New York Stock Exchange is the only place where people can buy and sell stocks.

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