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Stocks and Investments Review

Match the term with the correct definition.    

Definitions:

  1. invests the pooled money of its shareholders in various types of
  2. issued by state or local governments to pay for its ongoing activities
  3. a safer investment that offers more secure dividends.
  4. can provide a source of income if the company pays dividends
  5. investors who own stock in a corporation
  6. issued by companies who, in return for the purchase of bonds, issue to you a written pledge to repay a specified amount of money, with interest.

Terms:

  • mutual funds
  • municipal bonds
  • stockholder
  • preferred stock
  • common stock
  • corporate bonds

Answers:

  1. stockholder

    Answer: investors who own stock in a corporation

  2. corporate bonds

    Answer: issued by companies who, in return for the purchase of bonds, issue to you a written pledge to repay a specified amount of money, with interest.

  3. mutual funds

    Answer: invests the pooled money of its shareholders in various types of investments.

  4. preferred stock

    Answer: a safer investment that offers more secure dividends.

  5. municipal bonds

    Answer: issued by state or local governments to pay for its ongoing activities

  6. common stock

    Answer: can provide a source of income if the company pays dividends