THE STOCK MARKET QUIZ NO.1

The very first stock exchange was created in 1531 in Antwerp,

belgium

When selling your stock, you would call the broker and the process would go almost the same way. The broker will deduct his _______ and then pass the money on to you.

commission

Jim receives a copy of a new radio station being proposed in his town. Within the information he learns the potential for profits, the risk involved, and how much capital is needed in order to become a shareholder. Jim is looking at a

prospectus

A broker is the person who will do the actual _______ of the stocks for you.

purchasing

A unit of the equal parts of the capital stock divided by a corporation is called a

share

In addition to bonds, the banks sold little parts of their banks to whoever had the money and the desire to own a ______ in the business

share

One who owns shares of a business on the stock exchange Offers significant discounts for conducting purchases over the Internet A financial weekly publication which features information on buying and selling stock Work for the shareholder by the broker, such as selling and buying stock A device which gives constant updates on the activity of the New York Stock Exchange ®

share holder discount brokerage barrons broker services stock ticker

A place where financial securities are bought and sold The largest of all American stock exchanges, created in 1792 Started in the mid-19th century; financial emphasis moved from farming to manufacturing The formal name of the curb traders; it began in 1908 A unit of the equal parts of the capital stock divided by a corporation

stock exchange new York stock exchange industrial revolution American stock exchange share

The floor broker purchases your six shares of Mattel ® , and then reports the trade to the floor. That means that hundreds of computers all over the NYSE ® have recorded your:

transaction

From its humble origins of the 1700s, the stock market in America has grown to be a major financial force in the world today.

true

In the early days of our nation, the Colonial Government was looking for a way to finance its wartime operations, so it sold bonds.

true

The Dow Jones Industrial Average is a composite index of stock prices representing 30 of the nation's largest companies.

true

Your broker tells someone to buy six shares of Mattel ® stock for you. The person he is talking to is called the floor broker and the transaction takes place on the floor of the stock market.

true

Mark the boxes that are TRUE.

true: The New York Stock Exchange ® began with a handful of men standing in front of a buttonwood tree near the Trinity Church in East Manhattan shortly after the American Revolution. The New York Stock Exchange ® is also known by its initials, NYSE ® . England's first stock exchange originated in 1773. false: Traders would meet on what was once a farmer's market area known as Fisherman's Wharf in New York.

Which statements are TRUE?

true: When you purchase a share, you have purchased a little piece of the company. People will subscribe to publications such as Barron's ® or The Wall Street Journal ® to get information on investing more wisely. Mattel ® , as well as thousands of other companies, offers the opportunity to buy a part of their company by selling shares. A prospectus is a statement explaining the plan of a business or financial endeavor, including the financial status, the officers, recent performance, and the profits that an investor may realize.

Which stock exchange is described below? This exchange began in 1908. It was originally called "the curb exchange" and emerged to sell the stocks not considered reliable enough for other exchanges.

American stock exchange

Some of the stocks offered to get on the NYSE ® were ________ to be put in the NYSE ® , so a brisk business was running outside on the curb of the street.

not good enough