Economics Mini-Lesson Stocks....in under 5 minutes! Learning Objectives Students will define stocks, identify components of a stock certificate, and describe.

Slides:



Advertisements
Similar presentations
Chapter 4 Return and Risks.
Advertisements

Chapter 12 The Stock Market. CHAPTER 12  Who are the owners of a corporation?  Stockholders (shareholders)  If a corporation does well financially,
By:Evan Botterman and Tyler McKoy.  Very simply, a stock is a share in the ownership of a company  The more stocks in a company someone owns, the more.
1. Income stocks pay. Income stocks pay dividends at regular times during the year.
Lectures in Macroeconomics- Charles W. Upton Taxes on Capital Income rr.
Investing. Have students guess if they agree or disagree with the statements.
Returns Economics 71a: Spring 2007 Lecture notes 3.2 (extra)
ECONOMICS STUDY GUIDE. Investing – saving in a way that earns income Diversification – distributing funds among a variety of investments to minimize overall.
7.6 Stocks Calculate the cost of stock purchases
What is a Stock???  A Stock represents a share in the ownership of a company.  By purchasing a stock you become a shareholder/part owner of that company.
Sources of Capital CHAPTER 9 SECTION 1: Saving SECTION 2: Investing
Investing: Taking Risks With Your Savings.  Part Owner of Corporation  Funds for expansion  Stock Returns ◦ Stockholders ◦ Dividend, return on investment.
STOCKS. Not Stalks… By Mande, Amber, and Amanda Income Stock One purchased primarily for income and is paid out in the form of dividends. Pros: Can supplement.
Who will win the NCAA Tournament? 1.North Carolina 2.Kansas 3.Memphis 4.UCLA 5.I don’t care.
The Stock Market In this lesson, students will be able to identify characteristics of the stock market. Students will be able to identify and/or define.
Stocks and Bonds Invest: To use money to earn interest or income in the hopes of making a profit. What are some examples of investments? ___________________________________.
The Stock Market. Key Vocabulary  stock market (or stock exchange) – a place for buying and selling shares.  shares ( Us stocks) – units of capital.
Investing: Taking Risks with Your Savings
Savings and Investment Options Stocks, Bonds, Mutual Funds, etc.
Corporate Stock and Earnings Issues Chapter 24. Corporate Capital Structure Stockholders’ Equity Contributed Capital Retained Earnings.
C1 C2 The Center of all Financial Decisions  Check in wherever you are.
Saving & Investing Chapter 8. Establishing your financial goals  To gather funds, you need to plan carefully – and have self-discipline along the way.
Unit 2: The Stock Market Lesson 1: What is a stock?
What is a dividend?. Let’s say you bought an Investment property. You paid $400,000 and get $400/week rental income. (That’s $400x52 = $20,800 p.a.)
The Statement of Cash Flows 15. Overview of the Statement of Cash Flows OBJECTIVE 1: Describe the principal purposes and uses of the statement of cash.
Intro to Financial Management Equities. Review Homework Types of bonds Bond risks Bond valuation.
Investment Vocabulary. Stock Market  A market in which the public trades stock that someone already owns; the buying and selling of stock.
Chapter McGraw-Hill/IrwinCopyright © 2012 by The McGraw-Hill Companies, Inc. All rights reserved. A Brief History of Risk and Return 1.
FINAL ACCOUNTS  All companies or corporations ( businesses owned by shareholders) must provide a set of final accounts consisting on three statements:
The Stock Market. What are stocks? A stock is a percentage of ownership in the company.
Personal Finance Key Terms. Capital Formation Movement of money from households to businesses and government through investments and loans.
What is a mutual fund?  A pool of money that is invested in different securities (stocks, bonds, etc)  The money pool is invested on the investors behalf.
Chapter 11. – A savings account pays interest, has no maturity date, and allows funds to be withdrawn at any time without penalty.savings account –
CHAPTER 11 FINANCIAL MARKETS. SAVING AND INVESTING SECTION ONE.
LESSON 7.6 OBJECTIVES STOCKS. AFTER STUDYING THIS LESSON YOU WILL BE ABLE TO DO THE FOLLOWING: CALCULATE THE TOTAL COST OF PURCHASING STOCKS CALCULATE.
E. Napp The Stock Market In this lesson, students will be able to identify characteristics of the stock market. Students will be able to identify and/or.
Investment Jeopardy ® Joan Koonce, Ph.D., AFC ® Extension Financial Planning Specialist.
Cost of Capital. n For Investors the rate of return on a security is a benefit of investing. n For Financial Managers that same rate of return is a cost.
Saving and Investing Notes. Saving and Investing Objectives Explain factors that influence the amount of money earned at a financial institution.
Chapter 6.2 Investing: Taking Risks With Your Savings.
Back Test your investment knowledge! Match the questions with the answers. Test your investment knowledge! Match the questions with the answers.
What is a Stock? The Stock Market. Objectives: What is a Stock?  Explain why there is risk involved in stock ownership.  Make decisions as a group on.
Fundamental Of Investment Chapter One. A Brief History of Risk and Return “ If you want to make money, go where the money is “ “ If you want to make money,
CALCULATING CAPITAL GAINS TAXES ON THE PROFITABLE SALE OF STOCKS.
Types of Businesses. ENTREPRENEUR Someone who takes the necessary risks and rewards in starting a business. An Entrepreneur is out to make money. He/she.
SS.8.FL.5.3Discuss that when people buy corporate stock, they are purchasing ownership shares in a business that if the nosiness is profitable, they will.
Cost of debt = Interest Payments. Debts are the borrowing which company takes to finance the company therefore they have to pay interest on those borrowing.
Personal Finance JOHN MALL JUNIOR/SENIOR HIGH SCHOOL.
Investing in America Aim: How do Americans invest their money? ERHSMr. Graboski.
STOCK MARKET. INVESTMENT  Definition- act of redirecting resources from being consumed today so they may create benefits in the future.
Investments and Fair Value Accounting
LESSON 15-3 Preparing a Statement of Stockholders’ Equity
Income Statement Farwell Company has the following information available from its most recent fiscal year. Use the relevant information to determine the.
Global Financial Markets
Stocks & bonds.
الاستثمارات في الأسهم – المحاسبة وإعداد التقارير للمستثمر Stock Investments – Investor Accounting and Reporting إعداد :أ.نورا الداوود الفصل الثاني.
State Tax Credits – Brief Overview
Ch. 6.2: Investing - Taking Risks With Your Savings
CALCULATING COMPONENT PERCENTAGES
ECONOMIC STRUCTURES.
LESSON 15-3 Preparing a Statement of Stockholders’ Equity
Investments 12.5 Stock Dividends.
Chapter 1-part 3 Business Taxes.
Stocks: The Basics.
Investing and Saving Standard 1: Discuss how saving contributes to financial well-being. Standard 3: Evaluate investment alternatives. Standard 4: Describe.
Day 1 – Total and Annual Return
Lesson 13-2 SHARE OF NET INCOME ASSIGNED TO PREFERRED AND COMMON STOCK
D-1 Senior Managing Partners Blackstone Holdings Blackstone Group L.P.
CAPITAL STOCK SECTION OF THE STATEMENT OF STOCKHOLDERS’ EQUITY
Presentation transcript:

Economics Mini-Lesson Stocks....in under 5 minutes! Learning Objectives Students will define stocks, identify components of a stock certificate, and describe the reason for purchasing them.

Lesson Overview What is a stock? What is a stock certificate? Why would someone want to own stock?

What is a stock? Image Source: Stock or share

What is a stock certificate? Image Source:

Checking for Understanding #1 In your own words, what does it mean to own stock?

Checking for Understanding #2 Image Source:

Pay to You Why would I want to own stock? Image Source: $ Dividend One Hundred J. Smith

Checking for Understanding #3 A. Dividends and an increase in capital gains tax rates B. Dividends and loss of capital by the company C. Dividends and an increase in your stock's price D. Dividends and expansion of loans by the company What two ways can an investor gain income through investing in stocks?

What comes next?

Image Sources Wikimedia.org Flickr.com