Econ Unit 1

The sale of a stock that a seller borrows to sell at a high price, to rebuy at a lower price.

Which of the following is true about purchasing a stock?

A common stock gives you a vote to elect board members

A mutual fund is made up of investment from multiple individuals to invest in a diverse set of financial assets

A bull market implies a steady rise over time with high profits

The fee charged by a lender to a borrower for a loan

Which bond matures in less than one year

A company might split a stock so that their prices seem more appealing to stock-buyers

Which type of bond is issued by the government to finance public works

What is true about the NYSE

A growth stock pays few dividends because it allows the company to use that stock to reinvest in company growth

A junk bond is always a safe bet with high reward and little risk

Which of the following do you have to manage when investing?

Similar to a bond, A CD is...

What is an IPO

The rule of 72 allows us to calculate how long it will take for us to triple our investment

The FDIC protects your money in a bank for up to $500,000