Stock Market Basics

What are stocks?

• A type of bank that gives out loans to new businesses.

• A special type of grocery store that sells stocks.

• Stock is ownership in a publicly traded company

• A type of farmers market where people buy and sell food.

A stock's ticker usually has ____.

• letters and numbers

• the company's stock price

• the company's complete name

• between 1-4 capital letters

You decide that you want to invest a little bit of money in Apple stock. But in order to do that you need to figure out their stock symbol. What is the symbol that Apple uses on the stock market? Use the image to help you figure it out.

• IPHONE

• AAPL

• STEVEJOBS

• APPLE

What is a stock market crash?

• when one or two stocks drop significantly

• slow decrease in stock prices over a year

• rapid but anticipated drop in stock prices

• rapid and unanticipated drop in stock prices

What is the stock market?

• A type of bank that gives out loans to new businesses.

• A special type of grocery store that sells stocks.

• A public entity for the trading of company stock (shares) and derivatives at an agreed price

• A type of farmers market where people buy and sell food.

The stock market is a physical place.

• Yes, it's located in most major cities around the world.

• No, trading is all done online.

• Yes and No, there are physical places where stocks are sold, but they are also sold virtually.

You can buy stock in any company in the world.

• False, a company is only listed on the stock exchange if it wants to be.

• True, all companies are required to offer stock.

Apple has just released iPhone 13 variants that is predicted to change the cell phone world. Millions of people have pre-ordered it. What do you think will happen to their stock?

• Decrease

• Increase

• Remain the same.

• Who knows?

Facebook, Google, Microsoft, and General Motors. What do these companies have in common?

• They are all companies that have declined to be on the stock market, you can't buy stock in them.

• They are all companies with such expensive stock that you won't be able to afford to invest in them in our stock market game.

• They are examples of failing companies that you wouldn't want to invest in.

• You can buy stock in them in our stock market game

What is an IPO (initial public offering)?

• when a company first sells stock to the public

• a new Apple product

• when the government creates shares on the stock exchange

• when the company's shareholders have a meeting