Stocks Beginner:
Small, Mid, and Large-Cap Stocks
Test your knowledge
Choose wisely. There is only one correct answer to each question.
0%
Keep studying!
Review your answers below to learn more.
1.
Small-cap companies do not pay dividends because they usually dont earn profits.
Choose wisely. There is only one correct answer.
True
False
False. Small-cap companies may forgo paying dividends to reinvest those dividends for future company growth.
2.
If the Zing! Internet stock has a capitalization of $100 million dollars, it is probably a _______ stock.
Choose wisely. There is only one correct answer.
Small-cap
Mid-cap
Large-cap
Small-cap. By most models, this capitalization is quite small.
3.
What is capitalization?
Choose wisely. There is only one correct answer.
The number of stock shares owned by the public
The market value of a company
The price per share of a company
The dividend paid on a share of stock
The market value of a company. You can calculate it by multiplying the market price per share by the number of shares owned by the public.
4.
Large-cap stocks are stocks with _______.
Choose wisely. There is only one correct answer.
High fees
Large market values
Caps on growth
Large market values. "Cap" means capitalization. Large-cap stocks are stocks with large market values.
5.
Mid-cap stocks _______.
Choose wisely. There is only one correct answer.
Pay the highest dividends of any size stock
Represent medium-sized companies
Are the safest of all stocks
Represent medium-sized companies. They are not necessarily the safest, and they usually do not pay the highest dividends of any stock.
Submit
DONE