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Stock Questions with complete solution

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Stock Questions with complete solution What causes stock prices to change everyday? - correct answer Market forces (supply and demand) How often are public companies required to report their earnings? - correct answer 4 times a year (once each quarter) What are the two main ways to purch...

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  • August 12, 2024
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  • 2024/2025
  • Exam (elaborations)
  • Questions & answers
  • GARP
  • GARP
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Academia199
Stock Questions (5-6)
What causes stock prices to change everyday? - correct answer ✔Market
forces (supply and demand)


How often are public companies required to report their earnings? - correct
answer ✔4 times a year (once each quarter)


What are the two main ways to purchase stock? - correct answer ✔1. Using
a brokerage. 2. DRIPs and DIPs (Dividend reinvestment plans (DRIPs) and
direct investment plans (DIPs)).


What do growth investors focus on when investing? - correct answer ✔The
future potential of a company


What do growth investors look for in companies? - correct answer ✔They
look for young companies in rapidly expanding industries


What is the first question a growth investor should ask about a company? -
correct answer ✔Whether the company (based on annual revenue) has been
growing in the past


What is the minimal projected five-year growth rate accepted by growth
investors? - correct answer ✔10-12% although 15% or more is ideal


When investing in a company it's important to learn about a company's what?
- correct answer ✔The company's industry - specifically its prospects and
what growth stage the company is at

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