BOND: A promise by a corporation or government to pay a certain fixed amount of money at a certain time in the future.
SECURITIES AND EXCHANGE COMISSION (SEC): Is the branch of the US government created in 1934 that has responsibility for regulating monitoring and enforcing the security laws.
CURRENT YIELD: The annual dividend per-share of stock divided by the current price per share.
FACE VALUE: The amount shown on the face of a note The original amount of money borrowed by a company.
ZERO-COUPON BOND: A bond that does not pay annual interest, rather it only pays the face value of the bond at maturity.
PAR VALUE: The amount printed on a stock certificate, usually the price at which a share of stock is first offered to the public.
ROUND LOT: multiple of 100 shares of stock.
ADD COSTS: less that 100 shares of stock.
MATURITY DATE: The date a loan is due.
STOCK RATIOS: Numbers used to compare stocks- Typically the current yield and the PE ratio.
DIVIDEND: money paid by a company to the holders of a stock.
STOCK EXCHANGES: A place or mechanism at or through which stocks can be bought and sold.
EARNING PER SHARE: The difference of the net income of a corporation and any dividends on preferred shares divided by the number of common shares outstanding.
DOW JONES INDUSTRIAL AVERAGE: A commonly quoted average of the stock prices of 30 large industrial publicly held corporations.
STANDARD POOR: an index that reflects the combined prices of the stock of 500 of the largest and best companies in the US.
COMMON STOCK: ordinary stock not sharing the privilege of preferred stock and showing ownership in corporation.
PREFERRED STOCK: stock that pays dividends before, stockholders receive any dividends.
OWNERS EQUITY: The difference between assets and liabilities also called beer do you shave or net were also called propriertorship or net worth.