<p> Name: Period March 15, 2006</p><p>Stock Market – Activity 1 Worksheet Understanding Investments Part 1: 1. Why do you think businesses might need to open their company up to investors?</p><p>List two reasons why investments can be a good thing: 2. </p><p>3. </p><p>4. One share of stock in a company could cost as little as: --- </p><p>5. Usually, businesses that are just starting to sell stock in their company, sell their shares for </p><p>------money than established companies.</p><p>Part 2:</p><p>6. Who owns the most stock in the Ice Cream Co.?--- </p><p>7. Who owns the least stock in the Ice Cream Co? --- </p><p>8. What is the price per shares of the Ice Cream Co. stock? --- </p><p>9. If you bought 6 shares of stock in the Company, how much money would it cost?</p><p>10. If you bought 10 shares of stock in the Company, how much money would it cost?</p><p>11. If you bought $40 worth of stock in the Company, how many shares would you own?</p><p>12. If you bought $20 worth of stock in the Company, how many shares would you own? Name: Period March 15, 2006</p><p>STOCK MARKET – ACTIVITY 2 WORKSHEET</p><p>MAKING MONEY ON INVESTMENTS THROUGH DIVIDENDS</p><p>1. After a few months of business, the Ice Cream Company has money left over after paying all of their bills. This is called a ______</p><p>2. When a company pays stockholders a part of their profit, it is called a ______</p><p>3. True or False The Ice Cream Company has 6 investors so the dividend should be split Evenly 6 ways. (erase the wrong answer)</p><p>4. Would it be fair to split the dividend evenly 6 ways? </p><p>Explain Why or Why Not?</p><p>Using the two charts in Activity 2, record what percent of the stock each person owns and how much of the $50.00 they will each receive.</p><p>PERSON Percent Invested Amount Received</p><p>5. YOU ___ 33% ___ $16.50</p><p>6. FRIEND 1 ______</p><p>7. FRIEND 2 ______</p><p>8. FRIEND 3 ______</p><p>9. PARENTS ______</p><p>10. SISTER ______Name: Period March 15, 2006</p><p>STOCK MARKET - ACTIVITY 3 WORKSHEET MAKING MONEY ON INVESTMENTS BY SELLING STOCK</p><p>Originally the Ice Cream Company charged $5.00 per share of stock, Now the Ice Cream Company’s stock is worth $8.00 per share. Use this information to answer the following questions. </p><p>1. How much money did your parents originally pay for each share of stock?</p><p>2. How much money did they pay totally for all 10 shares of stock?</p><p>3. If your parents sell their stock now, what price will they receive for each share of stock?</p><p>4. If your parents sell their 10 shares of stock now, what is the total amount of money they will receive from selling them?</p><p>5. How much PROFIT (money above what they invested) will your parents make if they sell now?</p><p>6. What is the total amount of money YOU originally paid for all your stock?</p><p>7. If YOU sell your stock now, what is the total amount of money you will receive?</p><p>8. How much PROFIT will you make on your investment if you sell now?</p><p>9. If your sister sells her 2 shares of stock, how much profit will she make?</p><p>10. This company paid a dividend because it made a __ Name: Period March 15, 2006</p><p>STOCK MARKET – ACTIVITY 4 WORKSHEET MAKING AN INVESTMENT</p><p>Look at the stock listing below and answer the questions about it. NOTE: This chart is different than the example in the booklet.</p><p>52 Weeks Stock Div. YLD P- E Sales High Low Last Net Hi Lo Vol or Change (hds) Closing 65 38 ABC 1.7 0 2.9 9 264 561/8 547/8 55 7/8 - 1/4</p><p>1. What is the name of the Company? _</p><p>2. How many shares of stock, in hundreds, were bought and sold today? __</p><p>3. How much money does an investor earn for every $100 invested? (YLD—remember change to $$$) ___</p><p>4. What was the dividend per share paid last year? ___</p><p>5. What was the High Price of stock today, in DOLLARS? ___</p><p>6. What was the Low Price, in DOLLARS? ___</p><p>7. How much did the Last share sold today cost? ___</p><p>8. Was the closing price higher or lower than yesterday’s closing price? __</p><p>9. What was yesterday’s Closing price, in DOLLARS? (Make Net Chg. Fraction a decimal. Add or subtract this amount to the Last or Close column money amount.)</p><p>10. What is the DIFFERENCE in DOLLARS of yesterday’s closing price and today’s closing price? ___</p>