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Personal Finance Chapter 12, Investing in Stocks.
Terms in this set (19)
The owners of the corporation.
The part of the corporation's profits paid to stockholders.
The increase in value of the stock above the price initially paid for it.
A type of stock that pays a variable dividend and gives the holder voting rights.
A stockholders written authorization to transfer his/her voting rights to someone else.
A type of stock that pays a fixed dividend and carries no voting rights.
A type of stock that as a consistant hostory of paying high dividends.
Sotcks in corporations that reinvest their profits into the business.
Blue Chip Stocks
Stocks of large, well-established corporations with a solid record of profitability.
An assigned dollar value.
the price for which the stock is bought and sold in the marketplace.
Earnings Per Share
A corporation's after-tax earnings divided by the number of common stock shares outstanding.
A prolonged period of rising stock prices and a general feeling of investor optimism.
A prolonged period of falling stock prices and a general feeling of investor pessimism.
The use of borrowed money to buy securities.
Selling stock borrowed from a broker that must be replaced at a later time.
An increase in the number of outstanding shares of a company's stock.
Investing money directly into buy stocks.
Using dividends previously earned on the stock to buy more shares.
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