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What is the Stock Market and how does it work?

Authored by Thomas Otstot

Business

9th - 12th Grade

Used 16+ times

What is the Stock Market and how does it work?
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20 questions

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1.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

What is our class definition of a "Stock"?

an investment that represents a profit on the original price of a company
an investment that represents a promise to buy a piece of a company
an investment that it tax-free and gives voting rights to the buyer
an investment that represents a share, or partial ownership, of a company

2.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

A "Stock Market" is:

all of the answers are correct
a resource for private companies to raise money by the selling of shares
Where shares of public companies are bought and sold
an online organization that sets the price of a company's shares

3.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

The 2 key functions of a Stock Market include:

providing business access to capital and investors a way to build wealth
providing rules to businesses and investors to wealth and ownership
none of the answers are correct
providing business the ability to enrich top executives and limit taxes

4.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

"Exchanges" are:

online markets where companies buy resources to produce goods
none of the answers are correct
marketplaces where buyers and sellers trade financial securities
websites where money is converted from one currency to another

5.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

An index of 500 stocks used to monitor prices on the NYSE, AMEX and the OTC Market

Net Asset Value
Standard & Poor's 500 (S&P 500)
Efficient Market Hypothesis
Dow Jones Industrial Average

6.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

What is the Dow Industrial Average?

10 significant stocks performance in the overall market
100 significant stock average in the NYSE
30 significant stocks performance in the overall market
2 significant stock average in all categories of stocks

7.

MULTIPLE CHOICE QUESTION

1 min • 1 pt

What is the largest stock exchange in the world in terms of Market Capitalization?

Tokyo Stock Exchange
New York Stock Exchange NYSE
Hong Kong Stock Exchange
NASDAQ Stock Exchange

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