Analysis Beginner: Analyzing Investments

Test your knowledge

Choose wisely. There is only one correct answer to each question.

0%
Keep studying!

Get a certificate for this quiz
Enter your name to generate a certificate that you can save or print immediately. Optionally, add your email address to have a copy of the certificate emailed to you.


Review your answers below to learn more.
1.
What ratio measures the difference between a company's assets and liabilities?
Choose wisely. There is only one correct answer.
Current ratio. Current ratio measures the difference between a company's assets and liabilities.
2.
The total market value of a companys available stock shares is measured by ________.
Choose wisely. There is only one correct answer.
Capitalization. The total market value of a companys available shares is measured by capitalization.
3.
Security analysis is the process of _______.
Choose wisely. There is only one correct answer.
Researching and evaluating the factors that influence a securitys value. Using ratios is one part of this analysis, and getting the best possible prices for stocks is one of its many goals.
4.
If prices rise above a consolidation line, future security prices will probably fall.
Choose wisely. There is only one correct answer.
False. If prices rise above a consolidation line, future security prices will probably rise.
5.
Fundamental analysts determine a security's value by looking at its market price.
Choose wisely. There is only one correct answer.
False. Fundamental analysts determine a security's value by looking at the financial health of the company issuing the security.
6.
A _______ chart is used to track a stock's price momentum.
Choose wisely. There is only one correct answer.
Point. A point chart is used to track a stock's price momentum.
7.
To a technical analyst, every aspect of a market is revealed through _______.
Choose wisely. There is only one correct answer.
Market movement. Technical analysts study the movement of the whole market.