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The Stock Market

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

Stocks represent ownership in a corporation.

a)

TRUE

b)

FALSE

2.
People who own stocks are guaranteed a return on the money they have invested in stocks.
a)
TRUE
b)
FALSE
3.
One way stockholders make money is by selling their stock for more money than they paid for it.
a)
TRUE
b)
FALSE
4.
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.
5.

When stocks overall are rising, the market is called?

a)

A bull market

b)

A bear market

c)

market capitalization

d)

market diversification

6.

The first sale or offering of a stock by a company to the public. It happens when a company decides to go public rather than remain solely owned by private or inside investors.

a)

Public Offering of Corporation (POC)

b)

First Incorporation of Company (FIC)

c)

Federal Deposit Insurance Corporation (FDIC)

d)

Initial Public Offering (IPO)

7.

When a company distributes a portion of its earnings to shareholders they are receiving ___.

a)

Shares

b)

Bonds

c)

Liquidity

d)

Dividends

8.

Over the long run, stocks have historically outperformed other investments

a)

True

b)

False

9.

DOW and S&P 500 are both

a)

Exchanges

b)

Indexes

c)

Stocks

d)

Ticker Symbols

10.

NKE, DIS, AAPL are all ___ for public companies

a)

Exchanges

b)

Indexes

c)

Stocks

d)

Ticker Symbols

11.

This stock index is based on 30 leading industrial companies.

a)

DOW

b)

S&P 500

c)

NASDAQ

d)

Wall Street

12.

Do all companies offer stock dividends?

a)

Yes

b)

No

13.

Can you buy stock in this company?

a)

Yes

b)

No

14.

What are the two biggest stock exchanges in the United States?

a)

NYSE and NASDAQ

b)

NYSE and DOW JONES

c)

DOW and S&P 500

d)

NASDAQ and S&P 500

15.

Can you buy stock in this company?

a)

Yes

b)

No