Formative Test in Stocks and Bonds
Formative Test in Stocks and Bonds
Formative Test in Stocks and Bonds
1 A form of equity financing or raising money by allowing investors to be part owners of the company.
2 A form of debt financing, or raising money by borrowing from investors.
3 Investors are guaranteed interest payments and a return of their money at the maturity date.
4 Investors can earn if the security prices increase, but they can lose money if the security prices decrease or
worse, if the company goes bankrupt.
5 It can be appropriate for retirees (because of the guaranteed fixed income) or for those who need the money.
Formative Test
NAME: _______________________________ DATE:_______________
YEAR AND SECTION:___________________
I. IDENTICATION.
___________1. These are interest-bearing certificates used as a way for government or business to raise money.
___________2. These are shares of ownership in a corporation.
___________3. A _______ is a person or a corporation authorized and licensed by the Securities and Exchange
Commission (SEC) and PSE to trade securities
___________4. The _______ lends money to the bond issuer for a set amount of time and interest.
___________5 WHERE CAN we BUY OR SELL SHARES OF STOCKS AND/OR BONDS?
1 A form of equity financing or raising money by allowing investors to be part owners of the company.
2 A form of debt financing, or raising money by borrowing from investors.
3 Investors are guaranteed interest payments and a return of their money at the maturity date.
4 Investors can earn if the security prices increase, but they can lose money if the security prices decrease or
worse, if the company goes bankrupt.
5 It can be appropriate for retirees (because of the guaranteed fixed income) or for those who need the money.
Formative Test
NAME: _______________________________ DATE:_______________
YEAR AND SECTION:___________________
I. IDENTICATION.
___________1. These are interest-bearing certificates used as a way for government or business to raise money.
___________2. These are shares of ownership in a corporation.
___________3. A _______ is a person or a corporation authorized and licensed by the Securities and Exchange
Commission (SEC) and PSE to trade securities
___________4. The _______ lends money to the bond issuer for a set amount of time and interest.
___________5 WHERE CAN we BUY OR SELL SHARES OF STOCKS AND/OR BONDS?
1 A form of equity financing or raising money by allowing investors to be part owners of the company.
2 A form of debt financing, or raising money by borrowing from investors.
3 Investors are guaranteed interest payments and a return of their money at the maturity date.
4 Investors can earn if the security prices increase, but they can lose money if the security prices decrease or
worse, if the company goes bankrupt.
5 It can be appropriate for retirees (because of the guaranteed fixed income) or for those who need the money.