A | B |
Proprietorship | Business owned by one person |
Bear Market | Market situation when demand for stock is decreasing |
Unlimited Liability | Major disadvantage of a partnership |
Board of Directors | Decision-making body of a corporation |
Interest | Paid to bondholders |
Dividend | Payment made to stockholders from the earnings of a corporation |
Proxy | Stockholder's authorization for someone else to vote their stock |
Buy Long | Used to describe strategy of buying stock and holding it over a long period of time |
Bond | Certificate of indebtedness issued by corporations |
Broker | Person who handles stock transactions between buyer and seller |
Securities and Exchange Commission (SEC) | Government agency responsible for protecting investors in the stock market |
Preferred | Type of stock that insures the holder a first claim to dividends |
Underwriter | Institution which buys the original issue of a corporation's stock |
Common | Type of stock that entitles the holder to a vote |
Selling short | Selling borrowed stock in anticipation of further decreases in the stock's value |
Partnership | Business owned by two or more persons |
Limited liability | Advantage of corporation |
Corporation | Creates a legal Indvidual |
Bull Market | A market where stock prices are rising |
Close | The final price of the stock at the end of the trading day |