Tuesday, February 9, 2010

  • What exactly is a stock and why do companies sell stock in the first place?A stock is simply a place of exchange to allow individual investors or shareholders of a company to come together to buy and sell stock. When you purchase or sell a share, this no longer has anything to do with the company that issued the share. As for the company is concerned, it is already a shared issued.
  • What is the difference between a public and a private company?The company is one whose stock is traded by public, e.g.; listed on an exchange such as the new york stock exchange or NASDAQ. A private company is one whose stock is generally held by one shareholder or a small group of share holders.
  • What is the Dow Jones Industrial Average? The average value of thirty large industrial stocks,
  • What exactly is a stock and why do companies sell stock in the first place?
  • What is the difference between a public and a private company?
  • What is the Dow Jones Industrial Average?
  • What is a blue chip stock?
  • What is the New York Stock Exchange and the NASDAQ?
  • What is a mutual fund and how do they operate, why can they be good?
  • What are some of the biggest companies on the stock market (in total value of their stock?)
  • What is the PE ratio of a stock?
  • What is a stock dividend?

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