Exit Ticket (11.1 & 11.2) - Tang Xiong | Library

Instructions

Be sure to have completed the lessons for the Unit required for this exit ticket.

Required

2

All of the following are reasons to invest, EXCEPT…

To earn a consistent rate of return with lower risk than typical savings accounts

To earn higher average rates of return than you would in a typical savings account

To build wealth by reinvesting your returns and allowing them to compound

To minimize the impact on inflation, which causes you to lose purchasing power

Required

2

Buying and selling stocks within the same day to take advantage of short-term price variation

Reducing the purchasing power of your money over time

Buying assets, like stocks, with the intention to hold them and grow your wealth over the long term.

Putting $100 per month into an FDIC-insured bank account for short-term goals

Required

2

Minimizing risk

Starting to invest early

Making frequent trades

Reinvesting earnings

Required

2

Receive dividends from the company

Increase the cap size of the company

Sell the stock for less than your purchase price

Sell the stock for more than your purchase price

Required

2

A bear market is one where stock prices are trending upwards.

Over time, the stock market averages 6-7% growth per year.

We’ve been in a bull market for the last 20 years.

Stocks are a low-risk short-term investment because trends are predictable.

Required

2

Demand could unexpectedly increase for your company’s stock

Stock prices are hard to predict in the short-term

The stock price could decrease and you could lose money

Unforeseen developments could cause the company to go out of business