Unit 4(B) - Test- Investing, Stock, Insurance, Retirement

1. Stocks can be described as:

• Part Ownership
• An IOU

2. Bonds can be described as:

• Part Ownership
• An IOU

3. Funds can be described as:

• Part Ownership
• Collection

4. A group of stocks is called a?

• Stock
• Portfolio
• Dividend

5 A sum of money paid regularly by a company to its shareholders out of its profits.

• Stock
• Portfolio
• Dividend

6. A person who is licensed to buy and sell stock?

• Broker
• Advisor
• Administrator

7. Time/Value of money means that....

• It is better to wait for a higher income later
• Money is more valuable later than it is now
• Money earned today is of higher value than money that you may earn in the future

9. Which of these situations would generally cause the stock prices to go DOWN?

• A company CEO is prosecuted for insider trading
• There is a news story about the company’s exciting new product
• The stock market in general is going up each day

10. When interest starts to earn it’s own interest, it’s called ____________ interest

• compounding
• higher
• earning

11. The oldest stock exchange in the US, created in began in 1792 it contains 1,366 seats available and 2,800 companies?

• New York Stock Exchange
• NASDAQ
• DOW