Finance Quiz

What does the term 'bull market' refer to?

• A market where stock prices are falling

• A market where stock prices are rising

• A market where stock prices are stable

• A market with no trading activity

What is an IPO?

• Initial Public Offering

• International Private Offering

• Investment Portfolio Option

• Interim Public Offering

What does it mean to 'short sell' a stock?

• To buy stocks and hold them for a long period

• To sell stocks that you do not own with the intention of buying them back later at a lower price

• To sell stocks at a premium price

• To buy stocks at a discount price

What is a 'blue-chip' stock?

• A stock from a small, start-up company

• A stock from a well-established, financially sound company with a history of stable earnings

• A stock that is highly speculative

• A stock that is newly listed on the exchange

What is a stock ticker symbol?

• A code used to track stock prices

• A nickname for a stock broker

• A unique series of letters assigned to a particular stock for trading purposes

• A report on a company’s financial performance

What is a 'brokerage account'?

• A credit account for buying on margin

• An account used to buy and sell stocks and other investments

• A savings account with a bank

• A type of retirement account

What is a ‘market order’?

• An order to buy or sell a stock immediately at the current market price

• An order to buy or sell a stock at a specified price in the future

• An order to hold a stock without trading

• An order to only buy stocks from one company

What does the term 'liquidity' mean in the context of the stock market?

• The ability to quickly buy or sell an asset without affecting its price significantly

• The amount of debt a company has

• The stability of a stock’s price

• The interest rate on a bond

What is a 'limit order'?

• An order to buy or sell a stock at a specific price or better

• An order to buy or sell a stock immediately at the current market price

• An order to hold a stock without trading

• An order to only buy a stock at its highest price

What is 'margin trading'?

• Buying stocks with borrowed money

• Selling stocks short

• Investing in bonds

• Using savings to buy stock