Stocks Beginner: Buying and Selling Stock

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1.
To buy or sell publicly traded stock, you usually must use a broker.
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True. A broker executes trades for you.
2.
An order that is effective until you decide to terminate it is called a limit order.
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False. This type of order is called a good til canceled order.
3.
With a _______ account, you may borrow from your broker to buy securities.
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Margin. Margin accounts let you borrow funds from your broker.
4.
Through ________, you can buy stock shares without a broker.
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Dividend reinvestment plans. If you already own stock in a company, your reinvested dividends can buy more shares directly. Not all companies offer these plans, however.
5.
Which type of broker provides investment research and assistance with making investment decisions?
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Full-service. In return for higher commissions, the broker offers investment advice and research.