PREVFinLit1 - IG (80p Protected Preview)

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16. Chris said he is “proud that HnnH is a member of the very first American stock exchange that was founded way back in 1900!” Correct him please! _ ______________________________________________________________________________ _ ______________________________________________________________________________ 17. Claire the Engineer, a founding member of HnnH, said that she is “so excited that HnnH is listed on the Big Bored.” What does she mean, and is that correct? _ ______________________________________________________________________________ 18. Stockbroker Eisel Sheers claimed that last week he was “on the trading floor” of the NASDAQ, and there was great anticipation over the HnnH IPO. Is that possible? Why or why not? _ ______________________________________________________________________________ _ ______________________________________________________________________________ 19. Pat Entguy, HnnH’s lawyer said he’d like to thank the early financial innovators who formed the first joint stock company, the predecessor of the modern corporation! True statement? _ ______________________________________________________________________________ _ ______________________________________________________________________________ 20. Pat Enguy also said “we are very lucky to have so many great investment opportunities in this global economy, including the ability to obtain an equity interest in America by investing in U.S. treasuries.” What are treasuries, and can investors actually own a piece of America? What website would you direct him to so he can learn more about Treasury bills, notes and bonds? _ ______________________________________________________________________________ _ ______________________________________________________________________________ _ ______________________________________________________________________________ _ ______________________________________________________________________________ 21. What is the difference between common stock and preferred stock? a. preferred stock is issued only to directors c. preferred stock receives a regular (scheduled) dividend b. common stock has a guaranteed dividend d. common stock is for common folk 22. Lester the Investor wants to know what the largest securities exchanges in the world are (by dollar volume). Tell him! _ ______________________________________________________________________________ _ ______________________________________________________________________________ The NYSE was founded in 1792. The Philadelphia Stock Exchange was the first and original American stock exchange . No, there is no physical trading floor for the NASDAQ. Trades are made via a very fast and sophisticated telecommunications system. Treasuries refer to notes, bills and bonds issued by the U.S. Treasury. Bonds are debt - like an I.O.U. An investor does not own any part of the issuer, and certainly no one can own an equity interest in the U.S. government! He should go to www.treasury.gov to learn more . Yes! The joint stock company is the predecessor to the modern corporation . NYSE, NASDAQ, Tokyo Stock Exchange , London Stock Exchange and Shanghai Stock Exchange . She means the Big “Board” and it refers to the NYSE. PRODUCT PREVIEW

Lesson 14 | Who Put the Wall in Wall Street? 270

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