Stocks - What are they good for?!
a calculation including annual dividends and stock price increases or decreases
total return
a company that issues stock to a small group of people
private corporations
all of the investments bought and sold on the stock market
securities
a stock that is considered a safe investment typically attracts conservative investors
blue chip stock
the difference between a budgeted amount and the actual amount that you spend
budget variance
the annual dividend of an investment divided current market value
current yield
This is a company that sells its shares openly in stock markets
public corporation
a type of income from stock that corps are not required to pay
dividends
this pays a higher-than average dividend compares to other stocks
income stock
The amount of income left after taxes and other deductions are taken out of your paycheck
Discretionary Income
price of one share of stock divided by earnings for last 12 months
price-earnings ratio
stock from a corporation that issues a large number of shares
large cap stock
This occurs when shares of stock are divided into a larger number of shares
stock split
issued by a corporation whose potential earnings may be higher than the average of other companies
growth stock
This is a report that accounts differences between the bank statement and a checkbook balance
A Bank Reconciliation
company annual net earnings divided outstanding stock shares
earnings per share
these are issued by companies with of capitalization of less than $500 million
small cap stock
this happens when investors are optimistic and buy stocks
a bull market
these tend to have values that reflect the current state of the economy
cyclical stock
the process in which interest is earned on both the principal - the original amount you deposited - and on any previously earned interest.
compounding
an assigned dollar value printed on a stock certificate
par value
this is the total amount of stock issued by a corporation
capitalization
the happens when investors are pessimistic and sell stocks
bear market
these remain stable during declines in the economy
defensive stock
an automatic deposit of net pay to an employee's designated bank account
direct deposit