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2. Public companies report their profits, losses and forecasts 4 times a year. This period of time and reporting is referred to as the _______________________. quarterly earnings/report

3.  Apple and Google are on the NYSE.  False—they are on the NASDAQ

4. If a company reports its margins have increased, is that a positive or negative sign?_______________ Positive! Their profits on a particular product have increased (revenue—costs such as marketing, production, etc.)

5. Which sector was most represented in the top 10 companies of the Fortune 500? Energy—Exxon, Valero, Chevron

6. Which camera company went public in 2014? ______________________ GoPro IPO (initial public offering)

7. Dividends are usually paid by growing technology companies such as Google. False—by established companies such as GE

8. General Electric and Coca-Cola are blue chip companies. True—blue chip are established companies that have been successful over many years.

9. What are two reasons that a person might invest only in blue chip companies? _______________ ________________ reliable returns—dividends, less risk, dividends

10. In a stock split, the dollar value of each share goes down. True—50 shares at $100 each are now 100 shares at $50 each. Cost per share is lower so more people can buy the stock

11. Name 4 economic indicators. GDP, housing Interest rates, employment rates Trade deficit, inflation Business spending

12. What does SEC stand for? What does it do? __________________ ___________________________ Securities and Exchange Commission to regulate publicly traded companies

13. A stock with a low P/E ratio is always a good investment. False. It cold be a failing company!

14. What does ROI stand for? __________________________________ Return on investment—money earned after expenses are calculated

15. Dividends are interest paid on your stock holdings. False. They are paid from profits as a percentage of stock price.