Which is a short-term investment strategy?

Which is a long term investment strategy?

Stockholders can lose their entire investment if a company fails.

You must pay taxes on interest earned on which type of bond?

Bonds issued by state and local governments

A benchmark that investors use to judge the performance of investments

How many stocks are tracked by the Dow?

Which type of bond usually pays higher interest?

The highest quality, lowest risk bonds

You can buys stocks and bonds from the same broker.

Which factor would affect the market price of stock?

A stock split reduces the number of shares of stock issued by a corporation.

An increase in the value of stock over time

The amount a bondholder will be paid at maturity

Overall, bonds are a lower risk investment than stock.

Trades are completed by phone or computer in which type of market?

Anyone who is on vacation in New York can walk into the New York Stock Exchange to buy and sell stock.

Stocks in young corporations that have higher overall risk than stock in established companies

The price for which a stock is bought and sold in the marketplace

Using dividends previously earned on stock to buy more shares of stock

A type of corporate bond based on the general creditworthiness of the company

Which of the following would be considered an odd lot of stocks?

A corporate bond that can be traded in for a specified number of shares of common stock

An arbitrary value assigned to a share of stock when it is first issued

Bond rating indicate what about a bond?

How can you make money if you invest in a bond?

A bond issued by a state or local government

All stockholders receive dividend payments annually.

Money paid to stockholders from the corporation's earnings

A prolonged period of falling stock prices

A stockholder's written authorization to transfer their voting rights to someone else

Which type of stock pays a fixed dividend, but offers no voting rights?

Stock in corporations that reinvest their profits into the the business so that it can grow

Which type of bond can the issuer choose to pay off before its maturity date?

Stocks of large, well-established corporations with a solid record of profitability

Stocks of companies that remain stable and continue to pay dividends during an economic decline

The New York Stock Exchange is the largest stock exchange.

The New York Stock Exchange is the only stock market in the United States.

What is the most common face value for corporate bonds?

If a bond is being sold for "103," this means that the bond is selling for a 3% premium.

Interest payments for coupon bonds are automatically deposited into your bank account.

The lowest rated bonds with high interest and high risk

The market value for stock is always at least equal to the par value.

If you invest in a corporate bond, you are essential giving a loan to the corporation.

What is the most common maturity date for corporate bonds?