List all the ways we make money in stocks, bonds, and cash equivalents. Stocks - Bonds - Cash Equivalents -

2. What is the difference between quantitative and qualitative stock evaluation factors? Provide two examples of each that we discussed in this class. Please use your own words.

3. Evaluate UPS and FedEx based on six factors discussed in class. Remember that price is not a factor. Write the factors used and the results. Which stock represents the best investment and WHY? EPS Revenue Debt/Equity ratio ROE PE Dividend

4. You purchased a corporate bond three years ago that pays 6 percent. The purchase price was $1,050. Today comparable bonds are paying 4 percent.

a. What is the annual dollar amount of interest that you receive from your bond?

b. Since comparable bonds are paying 4 percent, what is the approximate dollar price for which you could sell your bond? Must show math!!!

5. Sam purchased 100 shares of MSFT stock over one year ago (March 15) at the closing price. Today, he sold the stock at the current market price. During the year he owned the stock, he received the posted annual dividend per share listed on Yahoo. Calculate the total return (in dollars) on this investment.

6. Why has dollar cost averaging work as an investment strategy?

7. Why do we care about stock market indexes?

8. Define the five types of stocks discussed in class. Don't just list themdefine them.

9. What are three primary differences between corporate and government bonds?

10. Describe the terms market order, limit order, and stop-loss order.

11. Explain the following long-term investment strategies.

Buy and Hold - Dividend Reinvestment - Dollar Cost Averaging -