Shares & Shareholders
What is one small piece of ownership in a company?
What is a share?
Apple, Nike, and Amazon are examples of what type of company?
What are public companies?
Why do public companies have so many rules?
Because millions of people own them.
The reason stock prices change.
What is people buying and selling stocks?
The type of account used for everyday spending.
What is a checking account?
What do you call someone who owns shares in a company?
What is a shareholder?
Chick-fil-A and In-N-Out are examples of what type of company?
Chick-fil-A and In-N-Out are examples of what type of company?
What government agency sets many of the rules for public companies?
What is the SEC?
Buying or selling stock using secret information that the public doesn't have.
What is insider trading?
The type of account that earns interest while keeping money safe.
What is a savings account?
Name one thing shareholders are able to do.
They can vote, earn money, or lose money.
What does IPO stand for?
What is an Initial Public Offering?
Name one thing public companies are required to do.
Report earnings, share risks, follow SEC rules, or tell investors the truth.
Lying to make money.
What is fraud?
The meaning of the abbreviation CD.
What is a Certificate of Deposit?
Why do companies sell shares?
To raise money for the business.
What happens during an IPO?
A company sells stock to the public for the first time.
Who hires and fires the CEO?
What is the Board of Directors?
A scam that pays old investors using money from new investors.
What is a Ponzi scheme?
An investment that owns small pieces of hundreds of different companies.
What is an index fund?
If a company needs $1 million and banks won't lend it money, what is another way it can raise funds?
By selling ownership (shares) to investors.
Name two benefits of becoming a public company.
Raises lots of money, more investors, or more growth.
Besides hiring and firing CEOs, what is another responsibility of the board?
Protect shareholders or approve major company decisions.
The illegal act committed when a CEO secretly buys stock before announcing major news.
What is insider trading?
Two investment types discussed besides index funds.
What are government bonds, individual stocks, or commodities (such as gold)?