Stock Market Test

1. What is liquidity in the stock market?

How easily a stock can be bought or sold How many emails a broker sends How many employees a company has How much cash a company has only

2. Do all stocks pay dividends?

Yes, every stock must pay dividends Only losing companies pay dividends Only new companies pay dividends No, not all stocks pay dividends

3. What is earnings?

A company’s stock symbol A tax refund A broker fee A company’s profit after expenses

4. What is a dividend stock?

A stock that pays regular income to shareholders A stock that never pays investors A stock that only trades once a year A stock with no company behind it

5. What is support in stock trading?

A tax deduction A price area where buyers may step in A broker fee A company customer service number

6. How can investors make money from stocks?

Only through tax refunds Only through salary payments Price appreciation and dividends Only through bank interest

7. What is a stock?

A bank loan A crypto wallet A government tax form A share of ownership in a company

8. What is the secondary market?

Where investors trade shares with each other after issuance Where companies sell shares for the first time only Where loans are approved Where taxes are filed

9. What is fundamental analysis?

Studying a company’s financial health and business value Only guessing prices Only looking at chart patterns Only following social media

10. What is the P/E ratio?

Public equity return Profit-exchange ratio Price-to-earnings ratio Premium earnings report

11. What is a bear market?

A dividend increase A period of guaranteed profits A market holiday A period when stock prices generally fall

12. What is an index fund?

A stock certificate A company’s payroll list A tax penalty A fund designed to track a market index

13. Why do companies sell stock?

To avoid having customers To remove investors To close the business To raise capital for growth, operations, or debt repayment

14. What is price appreciation?

When a company changes its logo When the market closes When a stock pays a loan When a stock increases in value

15. What is a ticker symbol?

A government license A short code used to identify a publicly traded company A company password A bank routing number

16. What is EPS?

Estimated payment schedule Earnings per share Equity purchase signal Exchange price system

17. What is resistance in stock trading?

A tax document A price area where sellers may step in A company loan A dividend payment

18. What is market capitalization?

A dividend payment A company’s office rent A broker password Share price multiplied by shares outstanding

19. What is the Dow Jones Industrial Average?

A stock market index tracking 30 major U.S. companies A crypto project A government tax form A company loan program

20. What can move stock prices?

Only broker passwords Only company logos Only market holidays Earnings, news, supply and demand, and economic conditions

21. Which of these is a major U.S. stock exchange?

NYSE Federal Reserve App Coinbase Wallet Western Union

22. What is the Nasdaq Composite known for?

Many technology and growth-oriented companies Only government bonds Only banks Only oil companies

23. What is trading volume?

The number of employees in a company The stock’s dividend amount The number of shares traded during a period The company’s debt only

24. What is the S&P 500?

A crypto exchange A single stock A bank account An index of about 500 large U.S. companies

25. What is revenue?

A stock dividend Total sales before expenses Profit after all expenses only A broker fee