Twa kɔ nsɛm atitiriw so
Log in
Sign up for FREE
arrow_back
Laabri

Lesson 3: What is a Stock?

star
star
star
star
star
Last updated about 2 hours ago
19 Nsɛmmisa
Hyɛ no nsow a efi ɔkyerɛwfo no hɔ:
0
Asemmisa {{asɛmmisaAhyɛnsode}}
1.

1
1
1

Learning Objectives

Students will be able to:

  • Explain what stocks are and how they can make money from investing in them

  • Identify ways to minimize risk when investing in stocks

  • Read a stock quote and evaluate a stock’s performance over time

  • Understand what a stock split is and how it impacts investors who own that stock

National Standards for Personal Financial Education

 Investing

  • 2b: Compare nominal annual rates of return over time on different types of investments, including cash flows and price changes

  • 3b: Investigate the long-run average rates of returns on small-company stocks, large-company stocks, corporate bonds, and Treasury bonds

  • 5a: Describe factors that influence the prices of financial assets

  • 5b: Predict what could happen to the price of a stock if new information is reported about the company or its products

Learning Objectives

Students will be able to:

  • Explain what stocks are and how they can make money from investing in them

  • Identify ways to minimize risk when investing in stocks

  • Read a stock quote and evaluate a stock’s performance over time

  • Understand what a stock split is and how it impacts investors who own that stock

National Standards for Personal Financial Education

 Investing

  • 2b: Compare nominal annual rates of return over time on different types of investments, including cash flows and price changes

  • 3b: Investigate the long-run average rates of returns on small-company stocks, large-company stocks, corporate bonds, and Treasury bonds

  • 5a: Describe factors that influence the prices of financial assets

  • 5b: Predict what could happen to the price of a stock if new information is reported about the company or its products

QUESTION OF THE DAY: If you invested $1,000 in Netflix stock ten years ago, what would it be worth now?

0
Asemmisa {{asɛmmisaAhyɛnsode}}
2.

If you want to grow your wealth, investing in stocks is a great option. Watch this video to learn more about what stocks are, how they work, and what you can do to minimize your risk when investing in stocks. Then, answer the questions.

Company A is raising $1 million at its initial public offering (IPO) by issuing 2,000 shares of stock. What is the value of each share?

0
Asemmisa {{asɛmmisaAhyɛnsode}}
3.

Julia buys a share of stock through her brokerage firm. What are the two ways that Julia could make money from owning this stock?  

0
Asemmisa {{asɛmmisaAhyɛnsode}}
4.

Julia knows that investing in just one company is risky since there’s a chance that the stock’s value could decrease. What are some ways she can minimize her risk?

ARTICLE: How to Read a Stock Quote

REFERENCE: Stock Performance - Nike

To understand if a particular stock is a good investment option for you, you’ll need to know how to read a stock quote so you can evaluate its performance. Read through this article to learn how to read a stock quote. Then, review the stock quote and answer the questions.

0
Asemmisa {{asɛmmisaAhyɛnsode}}
5.

According to the article, why is it more useful to look at the percent change of a stock price, rather than the change in dollar amount?

0
Asemmisa {{asɛmmisaAhyɛnsode}}
6.

Look at the stock performance for Nike. Describe the trend in Nike stock prices over the last year. What about the last 5 years?

0
Asemmisa {{asɛmmisaAhyɛnsode}}
7.

Is Nike a small, medium, or large cap company? How do you know?

0
0

FINCAP FRIDAY: Stock Split Summer

Sometimes, a company will announce a stock split. So, what does this mean for you as an investor? Go through this FinCap Friday to find out! As your teacher progresses through the slides, answer these questions, just writing A, B, C, or D for questions 1 - 5.

0
0
0
0
0
0
Asemmisa {{asɛmmisaAhyɛnsode}}
15.

You’ve been interested in investing in Company C for quite some time. You’ve done your research and you’re ready to invest. Coincidentally, Company C just announced a stock split. Why might this be good news for you?

ACTIVITY: PROJECT: 5 Stocks on Your Birthday

You’ve learned a lot about what stocks are and how to evaluate their performance. Now, let’s put it all together. Follow the direction on the worksheet to complete this activity.

  1. Copy the activity guide provided above

  2. Complete the activity guide

  3. When complete -- go through "File->download->pdf" and the submit the downloaded file here for question 16

Ɛhia
0
Asemmisa {{asɛmmisaAhyɛnsode}}
16.

Provide your activity guide here:

Asemmisa {{asɛmmisaAhyɛnsode}}
17.

What is a stock?

Asemmisa {{asɛmmisaAhyɛnsode}}
18.

When reading a stock quote, which of the following metrics would give you the best idea of the total value of the company?  

Asemmisa {{asɛmmisaAhyɛnsode}}
19.

Which of the following is TRUE about a stock split?

Asemmisa {{asɛmmisaAhyɛnsode}}
8.

Company B’s stock price is $500. You overhear a classmate say, “Based on the stock price, Company B’s value is clearly higher than Nike’s!” Why might your classmate be wrong?

Asemmisa {{asɛmmisaAhyɛnsode}}
9.

If you were considering buying a stock, which time frame would you use to analyze its price history (1-day, 5-day, 1-month, etc)? Why?

Asemmisa {{asɛmmisaAhyɛnsode}}
10.

Question 1:

Asemmisa {{asɛmmisaAhyɛnsode}}
11.

Question 2

Asemmisa {{asɛmmisaAhyɛnsode}}
12.

Question 3

Asemmisa {{asɛmmisaAhyɛnsode}}
13.

Question 4

Asemmisa {{asɛmmisaAhyɛnsode}}
14.

Question 5