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Stock Vocab.
Stock Vocab words and definitions
| Word | Definition |
|---|---|
| Dividend | Portion of a company's profits (earnings) that may be paid to stockholders |
| Liquidity | The ease of converting an asset- in this case a stock- into money with no loss of value fast |
| Private Company | A company owned by a person, family, or small group of investors that does not sell stock to the company |
| Profit | The amount of money that remains after subtracting the company's expenses from it's revenue |
| Public Company | A company owned by investors who buy shares of stock, usually through a stock exchange |
| Risk | The chance of losing all or part of the value of an investment |
| Stock | Ownership of shares in a business. Companies issue stock to raise money fro a variety of reasons, including expanding or modernizing their operations |
| Stockholders | One who owns shares in a buisness |