Intro to business chapter 31
Security
Tradable do u,net that shows evidence of debt or ownership
Capital loss
Amount lost when an asset is sold for less than what it was paid for.
Yield
Amount of money an investment earns.
Corporate bonds
Bonds issued by corporations.
Bond
Certificate issued by government promising to pay back borrowed money at a fixed rate of interest on one date.
Investing
Committing money or capital in order to gain a financial return.
Bond discount
Difference between the amount you pay and its face value.
Preferred stock
Gives owner the advantage of receiving cash dividends before stockholders.
Municipal bonds
Offer lowest interest rate, sold to finance city, town, or projects.
Capital gain
Profit made from the sale of a financial asset.
Common stock
Provides the most basic form of corporate ownership.
Coupon rate
Rate of interest on a bond.
Savings bonds
Registered Bonds that are sold in denominations of 50 to 1000
SEC
Securities and exchange commission.
Stock
Share of ownership in a corporation.
Dividends
Share of profits given to stock holders.