1. Jim’s emergency fund is in place, and he just received a nice bonus of $10,000. He decides he is going to invest in stock and wants your opinion on how to invest it. Jim is single, 33 years old, has no immediate plans for the bonus money, loves adventure sports, tends to be a risk taker, and would like growth stocks in the technology sector. (LO 13-4)

a. In what type of industries would you suggest he invest?

b. What stock exchange is based on technology companies?

c. How would you value the stock offerings of the companies in the market?

d. Based on the findings above, would you support Jim’s decision to invest $10,000 in the stock of a single company in the technology sector? Take into consideration a diversified portfolio to minimize risk.

e. How would Jim go about purchasing the stock?

f. What type of order would Jim use and why?