wayground logo

Free Printable Worksheets

Font size

S
M
L
XL
Worksheets

Stocks, Bonds, Mutual Funds

Total questions: 41

Worksheet time: 10hrs 1mins

Name
Class
Date
1.

A business or association usually formed to manufacture or supply products or services for profit.

(a)  

2.

A corporation that does not sell shares to the public is (a)   .

3.

A corporation that sells shares of it's stock to the public is (a)   .

4.

A type of security that signifies ownership in a corporation and represents a claim to part of the company's profits or losses.

(a)  

5.

The chance of losing all or part of an investment.

(a)  

6.

Part of a company's profits that it pays to it's shareholders.

(a)  

7.

A fixed income instrument that represents a loan made by an investor to a borrower.

(a)  

8.

A collection of stocks, bonds, and other securities owned by a group of investors and managed by a professional investment advisory firm.

(a)  

9.

A statistical measure of change in an economy or securities market.

(a)  

10.

Where brokers gather to buy or sell stocks and other securities. Can be in person, online, over the phone, etc.

(a)  

11.

A person who organizes, operates, and assumes the risk of a business venture is a _______.

a)

Entreprenuer

b)

Venture Capitalist

c)

Underwriter

d)

Investor

12.

The type of business that is owned and managed by two or more people who share in it's profits and losses.

a)

Sole Proprietorship

b)

Private Company

c)

Partnership

d)

Joint Account

13.

A sole proprietorship is a ...

a)

Corporation that doesn't sell shares to the public

b)

As company owned and run by one individual who receives it's profits and bears it's losses

c)

A company that is owned and managed by two or more people who share it's profits and losses

d)

A company owned by investors who buy shares of stock

14.

A legal status where a person's finances are limited to a fixed sum.

a)

Secure investment

b)

Private ownership

c)

Ownership in a company

d)

Limited Liability

15.

IPO means...

a)

Investment Public Office

b)

Initial Public Offering

c)

Initial Public Office

d)

Investment Public Offering

16.

You might see a Tombstone Ad when...

a)

A company's CEO dies

b)

A company fails and files for bankruptcy

c)

A cemetery has plots for sale

d)

A company is announcing it's initial sale of stock

17.

Which of the following is true regarding Common Stock?

a)

Common stock is more prevalent than preferred stock

b)

Common stockholders have voting rights but no guaranteed dividends

c)

Common stockholders are paid first

d)

Common stockholders are required to attend annual board meetings

18.

The amount of money that remains after subtracting the company's expenses from it's revenue is ____.

a)

Dividend

b)

Investment

c)

IOU

d)

Earnings

19.

Someone who risks funds by purchasing financial products in hope that their value will increase over time is called ______.

a)

An investor

b)

An underwriter

c)

A CEO

d)

A financial advisor

20.

Volatility...

a)

Is the chance of losing all or part of an investment.

b)

Indicates how much and how quickly the value of an investment, market, or market sector changes.

c)

Is a fixed income investment.

d)

Is an acknowledgement of debt.

21.

Reliable bonds are known as ______ bonds.

a)

Investment Grade

b)

Secure

c)

Mutual Fund

d)

Exchange

22.

Which of the following is not one of the 4 main types of investment grade bonds?

a)

Agency Bonds

b)

Corporate Bonds

c)

US Treasury Bonds

d)

Government Bonds

23.

An investor wants to make the safest possible bond investment and plans to collect the interest for 10 years. What type of bond should they purchase?

a)

Corporate bond

b)

Municipal bond

c)

Agency Bond

d)

US Treasury Bond

24.

A large corporation wants to expand into Asian markets. They want to guarantee their bond with land the company owns. What type of bond would they use?

a)

Corporate

b)

Municipal

c)

Agency

d)

US Treasury

25.

A local government wants to build a new bridge. What type of bond would they use?

a)

Corporate

b)

Municipal

c)

Agency

d)

US Treasury

26.

A major corporation wants to issue a bond and use their credit rating to guarantee the bond. Which type of bond would they issue?

a)

Corporate

b)

Municipal

c)

Agency

d)

US Treasury

27.

What saying most identifies with "diversification"?

a)

Better late than never

b)

Don't put all your eggs in one basket

c)

No pain, no gain

d)

That's the last straw

28.

Which of the following is true regarding NYSE and NASDAQ? (check all that apply)

a)

NYSE trading is done in person.

b)

NASDAQ trading is done electronically.

c)

Most of the large Tech companies list on the NYSE.

d)

The NASDAQ was established in 1902.

e)

The NASDAQ is an Exchange and an Index

29.

As an investor, what differences do you notice when trading stocks on different exchanges?

a)

When trading on the NYSE, you are charged higher transaction fees.

b)

The prices are always significantly higher if you trade on the NASDAQ vs any other exchange.

c)

None, it does not matter to the investor which market the stocks are traded.

d)

The NYSE only allows 5 trades per day per person.

30.

Which of the following is NOT typically a cause for stock prices to rise or fall?

a)

Market forces

b)

Current/News events

c)

The weather

d)

Public Opinion

31.

T/F: A stock’s price is an indication of what investors believe a company is worth.

a)

True

b)

False

32.

T/F: Bonds are when the investment firm collects money from the investors, pools it, and invests it.

a)

True

b)

False

33.

T/F: A corporation is a separate legal entity- separate from it's owners

a)

True

b)

False

34.

T/F: Most large tech companies list their stocks on the NASDAQ versus the NYSE.

a)

True

b)

False

35.

T/F: Reducing risk by combining different investments whose prices aren’t likely to move in step with one another is called diversification.

a)

True

b)

False

36.

T/F: Bonds are a way to make money quickly.

a)

True

b)

False

37.

T/F: You can lose more money than you invested in the stock market.

a)

True

b)

False

38.

T/F: Par Value, Face Value, and Principal Value of a bond all mean the same thing.

a)

True

b)

False

39.

T/F: A private company may raise money through other sources- bank loans, venture capitalists, etc.

a)

True

b)

False

40.

T/F: Shareholders can only make money by collecting dividends.

a)

True

b)

False

41.

______ is when a company converts their assets into cash.

a)

Liquidation

b)

Cashing out

c)

Dividends

d)

Investing