5 Written questions
5 Matching questions
- Command Economy
- a Checks represent money in a checking account that is stored at the bank. This type of money is representative
- b A license to become a corporation
- c Another word for stocks and bonds
- d Also called communism
Economic decisions are made by a central authority (like a king, powerful political party, or dictator). The government owns and controls all land and capital goods & decides what is produced, how its produced, and how much will be produced
- e Guessing the price of stock prices
5 Multiple choice questions
- A certificate that a stockholder gets that shows the number of shares in a company that person owns
- Not true money! When you use a credit card, you are borrowing money from a company and will pay it back later
- Shares of ownership in a corporation
- A business owned by 1 person.
-70% of today's businesses are sole proprietorships, but they only make about 10% sales in today's economy
-Examples: small retail stores, doctor's office
- Coins and paper money. It is also called currency. This is fiat money and is the most commonly used form of money
5 True/False questions
Dividends → Checks represent money in a checking account that is stored at the bank. This type of money is representative
Money has 3 jobs:
3) Money stores value → Money lasts for a long time, so you can keep it for a long time. It lets people store, or keep, their wealth.
Capital (investment capital) → Money made from selling stocks for more money than what you bought them for.
This is one way stockholders earn money from investing in stocks
Monopoly → A certificate promising to repay borrowed money with interest
-There are 2 types of bonds - corporate and municipal/government bonds
*Bonds are a safer investment than stocks
Savings Accounts → A place where stocks and bonds (also called securities) are bought & sold.
The New York Stock Exchange is the largest in the world.