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The Dow Jones Industrial Average utilizes the prices of the same 30 companies' stocks each year to ensure consistency.

A) True
B) False

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Zach purchased 200 shares of Fast Track Corporation last year.This year,he plans to hire an attorney to go after the company for failure to pay dividends.If Zach follows through with his plan,he will probably win the lawsuit because companies are obligated to pay their stockholders dividends for owning and holding the firm's stock.

A) True
B) False

Correct Answer

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Laura read about Living Longer Biotechnology,Inc.and wants to buy 100 common shares at $45 per share.Unfortunately,she only has $3000 available to invest.One risky strategy Laura could consider is:


A) buying on margin.
B) buying from the dealer's account.
C) arranging for security funding.
D) Leveraging her future professional earnings.

E) B) and C)
F) A) and C)

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The term ________ refers to investors who anticipate increases in stock prices.


A) bears
B) bulls
C) dogs
D) lions

E) A) and B)
F) All of the above

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