Vocab UPDATED ACTUAL QUESTIONS
AND CORRECT ANSWERS
Bear market - Correct answers✔✔Condition that exists when investors are pessimistic about the
economy and the market goes down
Blue chip stocks - Correct answers✔✔Safe investments in the ownership of large, respected, and
well-established companies. (Coca-Cola, AT&T)
Bull market - Correct answers✔✔Condition that exists when investors are optimistic about the
economy and the market goes up
Common stock - Correct answers✔✔A stock whose owner has voting rights and receives
dividends based on company profits
Company - Correct answers✔✔A business or association usually formed to manufacture or
supply products or services for profit
Corporation - Correct answers✔✔A company legally separate from stockholders who own it and
the managers who run it
Dividend - Correct answers✔✔Part of a company's profits (earnings) that it pays as money to
stockholders
Dow Jones - Correct answers✔✔A daily average of the stock prices of thirty of the largest and
richest blue-chip companies in the U.S., used to measure changes in stock market activity