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- 1. Multiple Choice
Which of the following is NOT a stock index?
DOW JONES
S & P 500
NASDAQ COMPOSITE
P/E RATIO
- 2. Multiple Choice
A type of investment that invests in a lot of different companies is called
Stocks
Bonds
Mutual funds
T-bills
- 3. Multiple Choice
What is a stock?
A loan an investor makes to a company or government that pays interest over time.
A share of ownership in a company
A collection of investments sold as a package.
An option to purchase something in the future at todays price.
- 4. Multiple Choice
What is the primary reason for a company to issue stock?
The stocks help investors earn a higher rate of return
To raise money to grow the company
To distribute the risk of bankruptcy across more investors
To increase greater awareness of the company
- 5. Multiple Choice
This is where your orders to buy or sell stock are sent and carried out
Stock Exchange
Brokerage Firm
Stock Meeting Place
Money Exchange
- 6. Multiple Choice
All of the following are ways to earn money as a stockholder EXCEPT:
getting dividends
selling the stock at a higher value
stock splits
selling the stock at a lower value
- 7. Multiple Choice
Dow-Jones Industrial Average is made up of how many stocks
25
30
50
100
- 8. Multiple Choice
Spreading your investments around to inrease financial security
Risk assessment
Diversification
Stocks, bonds & cash
Liquidity trap
- 9. Multiple Choice
Professionally managed, diversified investment that pools resources of many investors
Treasury bonds
Stock index
Mutual fund
Saving account
- 10. Multiple Choice
Ownership in a publicly traded corporation
CD-certificate of deposit
Money Market
Treasury bill
Stock
- 11. Multiple Choice
The number of years it takes for your money to double
72 Rules
Rule of 72
- 12. Multiple Choice
If you bought a stock at $20 a share and now it's worth $40 a share how much do you make per share if you sell all your stock now?
$10
$40
$20
-$20
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