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Understanding the Stock Market 1

Total questions: 1

Worksheet time: 14mins

Name
Class
Date

1-10.

Answer the questions below after watching the video

1.

Which of the following topics is often covered in the news but can feel like a secret code?

a)

Weather

b)

Sports

c)

Stock Market

d)

Politics

2.

What is a stock?

a)

A large piece of a company

b)

A small piece or share of a company

c)

A company's profit

d)

A type of bond

3.

Which of the following is a public company?

a)

A local bakery

b)

A private tech startup

c)

Hershey's

d)

Mars

4.

What does it mean when the stock market goes up?

a)

All company shares increase in price

b)

Overall, the price for pieces of public companies increases

c)

The economy is doing well

d)

The Dow and S&P 500 both increase

5.

What is the Dow?

a)

A collection of 30 different companies' stocks

b)

A collection of 500 different companies' stocks

c)

A measure of the economy

d)

A type of bond

6.

How is the stock market different from the economy?

a)

The stock market is a scoreboard, while the economy is the entire stadium

b)

The stock market only includes public companies

c)

The stock market is the same as the economy

d)

The stock market is a part of the economy

7.

During the 2020 coronavirus pandemic, what was the relationship between the stock market and the economy?

a)

The stock market was down while the economy was booming

b)

The stock market was reaching new highs while many Americans faced financial disaster

c)

Both were doing poorly

d)

Both were doing well

8.

What is the first step in a simple stock trade?

a)

Sell shares at the market price

b)

Wait for the price to change

c)

Buy one or more shares at the market price

d)

Research the company

9.

What is the conventional wisdom for making money in the stock market?

a)

Buy high, sell low

b)

Buy low, sell high

c)

Buy and sell quickly

d)

Avoid buying stocks

10.

What is a good strategy for long-term investment?

a)

Investing only in private companies

b)

Following flashy stock market tips

c)

Investing in retirement products like IRAs and 401ks

d)

Frequent trading