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Stock Market Basics

Total questions: 12

Worksheet time: 6mins

Name
Class
Date
1.

What are stocks?

a)

A type of bank that gives out loans to new businesses.

b)

A special type of grocery store that sells stocks.

c)

Stock is ownership in a publicly traded company

d)

A type of farmers market where people buy and sell food.

2.

A stock's ticker usually has ____.

a)

letters and numbers

b)

the company's stock price

c)

the company's complete name

d)

between 1-4 capital letters

3.

You decide that you want to invest a little bit of money in Apple stock. But in order to do that you need to figure out their stock symbol. What is the symbol that Apple uses on the stock market? Use the image to help you figure it out.

a)

IPHONE

b)

AAPL

c)

STEVEJOBS

d)

APPLE

4.

What is a stock market crash?

a)

when one or two stocks drop significantly

b)

slow decrease in stock prices over a year

c)

rapid but anticipated drop in stock prices

d)

rapid and unanticipated drop in stock prices

5.

What is the stock market?

a)

A type of bank that gives out loans to new businesses.

b)

A special type of grocery store that sells stocks.

c)

A public entity for the trading of company stock (shares) and derivatives at an agreed price

d)

A type of farmers market where people buy and sell food.

6.

The stock market is a physical place.

a)

Yes, it's located in most major cities around the world.

b)

No, trading is all done online.

c)

Yes and No, there are physical places where stocks are sold, but they are also sold virtually.

7.

You can buy stock in any company in the world.

a)

False, a company is only listed on the stock exchange if it wants to be.

b)

True, all companies are required to offer stock.

8.

Apple has just released iPhone 13 variants that is predicted to change the cell phone world. Millions of people have pre-ordered it. What do you think will happen to their stock?

a)

Decrease

b)

Increase

c)

Remain the same.

d)

Who knows?

9.

Facebook, Google, Microsoft, and General Motors. What do these companies have in common?

a)

They are all companies that have declined to be on the stock market, you can't buy stock in them.

b)

They are all companies with such expensive stock that you won't be able to afford to invest in them in our stock market game.

c)

They are examples of failing companies that you wouldn't want to invest in.

d)

You can buy stock in them in our stock market game

10.

What is an IPO (initial public offering)?

a)

when a company first sells stock to the public

b)

a new Apple product

c)

when the government creates shares on the stock exchange

d)

when the company's shareholders have a meeting

11.

During the Bear Market, do you sell stocks or buy stocks?

a)

Buy

b)

Sell

c)

Don't know

12.

What do the bear and the bull stand for?

a)

The bear means stocks are falling and the bull means stocks are going up

b)

They are signs that the Stock Market is opened and closed

c)

The bear means stocks are rising and the bull means stocks are falling