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WorksheetsStocks, Bonds, Mutual Funds
Total questions: 41
Worksheet time: 10hrs 1mins
A business or association usually formed to manufacture or supply products or services for profit.
(a)
A corporation that does not sell shares to the public is (a) .
A corporation that sells shares of it's stock to the public is (a) .
A type of security that signifies ownership in a corporation and represents a claim to part of the company's profits or losses.
(a)
The chance of losing all or part of an investment.
(a)
Part of a company's profits that it pays to it's shareholders.
(a)
A fixed income instrument that represents a loan made by an investor to a borrower.
(a)
A collection of stocks, bonds, and other securities owned by a group of investors and managed by a professional investment advisory firm.
(a)
A statistical measure of change in an economy or securities market.
(a)
Where brokers gather to buy or sell stocks and other securities. Can be in person, online, over the phone, etc.
(a)
A person who organizes, operates, and assumes the risk of a business venture is a _______.
Entreprenuer
Venture Capitalist
Underwriter
Investor
The type of business that is owned and managed by two or more people who share in it's profits and losses.
Sole Proprietorship
Private Company
Partnership
Joint Account
A sole proprietorship is a ...
Corporation that doesn't sell shares to the public
As company owned and run by one individual who receives it's profits and bears it's losses
A company that is owned and managed by two or more people who share it's profits and losses
A company owned by investors who buy shares of stock
A legal status where a person's finances are limited to a fixed sum.
Secure investment
Private ownership
Ownership in a company
Limited Liability
IPO means...
Investment Public Office
Initial Public Offering
Initial Public Office
Investment Public Offering
You might see a Tombstone Ad when...
A company's CEO dies
A company fails and files for bankruptcy
A cemetery has plots for sale
A company is announcing it's initial sale of stock
Which of the following is true regarding Common Stock?
Common stock is more prevalent than preferred stock
Common stockholders have voting rights but no guaranteed dividends
Common stockholders are paid first
Common stockholders are required to attend annual board meetings
The amount of money that remains after subtracting the company's expenses from it's revenue is ____.
Dividend
Investment
IOU
Earnings
Someone who risks funds by purchasing financial products in hope that their value will increase over time is called ______.
An investor
An underwriter
A CEO
A financial advisor
Volatility...
Is the chance of losing all or part of an investment.
Indicates how much and how quickly the value of an investment, market, or market sector changes.
Is a fixed income investment.
Is an acknowledgement of debt.
Reliable bonds are known as ______ bonds.
Investment Grade
Secure
Mutual Fund
Exchange
Which of the following is not one of the 4 main types of investment grade bonds?
Agency Bonds
Corporate Bonds
US Treasury Bonds
Government Bonds
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?
Corporate bond
Municipal bond
Agency Bond
US Treasury Bond
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?
Corporate
Municipal
Agency
US Treasury
A local government wants to build a new bridge. What type of bond would they use?
Corporate
Municipal
Agency
US Treasury
A major corporation wants to issue a bond and use their credit rating to guarantee the bond. Which type of bond would they issue?
Corporate
Municipal
Agency
US Treasury
What saying most identifies with "diversification"?
Better late than never
Don't put all your eggs in one basket
No pain, no gain
That's the last straw
Which of the following is true regarding NYSE and NASDAQ? (check all that apply)
NYSE trading is done in person.
NASDAQ trading is done electronically.
Most of the large Tech companies list on the NYSE.
The NASDAQ was established in 1902.
The NASDAQ is an Exchange and an Index
As an investor, what differences do you notice when trading stocks on different exchanges?
When trading on the NYSE, you are charged higher transaction fees.
The prices are always significantly higher if you trade on the NASDAQ vs any other exchange.
None, it does not matter to the investor which market the stocks are traded.
The NYSE only allows 5 trades per day per person.
Which of the following is NOT typically a cause for stock prices to rise or fall?
Market forces
Current/News events
The weather
Public Opinion
T/F: A stock’s price is an indication of what investors believe a company is worth.
True
False
T/F: Bonds are when the investment firm collects money from the investors, pools it, and invests it.
True
False
T/F: A corporation is a separate legal entity- separate from it's owners
True
False
T/F: Most large tech companies list their stocks on the NASDAQ versus the NYSE.
True
False
T/F: Reducing risk by combining different investments whose prices aren’t likely to move in step with one another is called diversification.
True
False
T/F: Bonds are a way to make money quickly.
True
False
T/F: You can lose more money than you invested in the stock market.
True
False
T/F: Par Value, Face Value, and Principal Value of a bond all mean the same thing.
True
False
T/F: A private company may raise money through other sources- bank loans, venture capitalists, etc.
True
False
T/F: Shareholders can only make money by collecting dividends.
True
False
______ is when a company converts their assets into cash.
Liquidation
Cashing out
Dividends
Investing
