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Understanding Stock Market Basics

Authored by Michael Mahler

Instructional Technology

8th Grade

Used 2+ times

Understanding Stock Market Basics
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15 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is a bull market?

A market characterized by falling prices

A market characterized by rising prices

A market with stable prices

A market with no trading activity

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which type of stock typically pays dividends?

Growth stocks

Income stocks

Penny stocks

Blue-chip stocks

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is a bear market?

A market characterized by rising prices

A market characterized by falling prices

A market with stable prices

A market with no trading activity

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which of the following is a common stock trading strategy?

Buy and hold

Buy high, sell low

Avoid all stocks

Invest in only one stock

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the primary difference between common and preferred stocks?

Common stocks have voting rights, preferred stocks do not

Preferred stocks have voting rights, common stocks do not

Both have equal voting rights

Neither have voting rights

6.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How are dividends typically paid out to shareholders?

In the form of additional shares

In cash or additional shares

Only in cash

Only in the form of bonds

7.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What does the term "earnings per share" (EPS) refer to?

The total earnings of a company

The earnings allocated to each outstanding share of a company's stock

The earnings before taxes

The earnings after dividends are paid

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