Stocks And Bonds

Question 1

Partial ownership of a company

Answer 1

Stocks/ shares

Question 2

People who buy stocks

Answer 2

Shareholders/investors

Question 3

Where you can buy stocks

Answer 3

Stock market (PSE)

Question 4

Person or company that buys and sells stocks for people

Answer 4

Broker

Question 5

Increase in the market price of your stock over time

Answer 5

Stock price appreciation

Question 6

Part of a company’s earnings to shareholders

Answer 6

Dividends (not all companies give this)

Question 7

Present cost of purchasing a stock

Answer 7

Current price

Question 8

Minimum number of shares that an investor can buy

Answer 8

Board lot

Question 9

Final price at which a stock was traded the previous day

Answer 9

Previous closing price

Question 10

Highest stock price in a year

Answer 10

52-week high

Question 11

Lowest price of a stock in a year

Answer 11

52-week low

Question 12

Ratio of the current stock price to earnings of a company

Answer 12

PE ratio (price of 1peso of the company’s earnings)

Question 13

Medium used to denote trends uh the securities market

Answer 13

Market index

Question 14

Lending of money to a company

Answer 14

Bonds

Question 15

Interest receive in a bond

Answer 15

Coupons

Question 16

Determined amount that the lender will receive at the maturity date

Answer 16

Face value

Question 17

Time when your loan ends and the company pays the bond holder

Answer 17

Maturity date

Question 18

Annual interest rate paid by the bond issuer

Answer 18

Coupon rate

Question 19

Bonds that do not provide coupons

Answer 19

Zero coupon bonds