Stocks Reading (90% or higher)

1. What does stock come in the form of?

• Shares

• Dividends

• Preferred Stock

• Yields

2. One share of stock represents:

• how much profit you will earn.

• part ownership of a company.

• the actual value of the stock.

• how much you are able to sell the stock for.

3. What is a shareholder?

• A person shares ownership of a company with one other person.

• A person who shares or trades stock with other people.

• A person who owns a share or shares of a company.

• A person who shares profits with the employees of a company.

4. What are the two types of stock? (choose all that apply)

• Preferred Stock

• Yielding Stock

• Common Stock

• Professional Stock

5. Which statements are true about common stocks? (choose all that apply)

• You have the right to receive dividends.

• You have the right to vote at shareholder's meetings.

• You do not have the right to vote at shareholder's meetings.

• Most companies issue common stock not preferred stock.

6. If a company pays a quarterly dividend of 25 cents, what would be the annual dividend rate?

• $0.25

• $0.50

• $0.75

• $1.00

7. What is a stock dividend?

• The number of votes needed for approval at a shareholders meeting.

• The number of parts a company is split into.

• A number that is divided by another number.

• Money a company pays to its shareholders.

8. When are dividends most often paid?

• monthly

• semiannually

• quarterly

• annually

9. When determining if a stock is paying a good dividend, what is it best to look at?

• The end-of-year report.

• The dividend yield.

• The stock exchange.

• The dividend rate.

10. Where are most stocks bought and sold? (choose all that apply)

• In a stock exchange.

• In a stock store.

• In a stock market.

• On the stock page of a companies website.