Introduction to the Stock Market

# What exactly is a stock and why do companies sell stock in the first place?
A stock is a share in a company.

# What is the difference between a public and a private company?
The difference between public and private companies is thatr pubolic compoanies have stoocks available to everyone.

# What is the Dow Jones Industrial Average?
The Dow Jones Ondustiral Average is the average of major U.S. stocks which represent the overall state of the economy.

# What is a blue chip stock?
The blue chip stock is a stock that is well off and financially safe. They pay favorable dividends.

# What is the New York Stock Exchange and the NASDAQ?
The New York Stock Exchange and NASDAQ are

# What is a mutual fund and how do they operate?
A mutual fund is

# What are some of the biggest companies on the stock market, what is the total value
of their stock?
Some of the biggest companies on the stock market include Google, Apple, Microsoft.

# What is the PE ratio of a stock?
The PE ratio of a stock, or price-earnings ratio, is a valuation of a companies market value per share and earnings per share.

# What is a stock dividend?
A stock dividend is a share of the company's profits which the owner of a stock receives.

My name is

Shane, like the book.

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