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9. portfolio
11. Financial Intermediaries help channel funds from savers to borrowers.
12. Bond ratings are ratings on the safety of the bonds. The higher the rating, the more likely the bond is to pay back in the end. Investors buy the bonds based on how much the return could be, and how high the risk is.
13. stocks are traded in the stock exchange, OTC market, and futures/options.
14. Diversification strengthens an investor's portfolio by spreading out the risk among a large area, giving themselves a lower risk.
15. Savings and investments play an essential role in the free enterprise system because savings helps people hold onto the money they earn so they have it in case of emergency. Investments allow companies invested into grow because the money invested goes directly to them so that they can expand and grow.
16. Savings can be invested in savings accounts when you are given an interest rate (guaranteed), stock market (risky because you can lose all your money, but potentially beneficial because you can make a ton of money), and bonds (less risky than stocks, less benefit).
17. The great crash was caused by people spending more money than they had, thinking they could pay it

May 23 - 11.3 Read pages 285-292. Answer Questions #1-9
May 24 - CH 11 Review pg. 294 #1-9, 11-18
May 25 - REVIEW for Unit II Exam
8. No. Day trading is ridiculously hard. No matter how smart you are with your money, there seems to always be someone else who knows how to trade better than you who will take your share...
9. I would probably buy long term stocks and spend less money. That way i have money coming in (theoretically) and have some saved for buying my college tuition. then, if i need to i could potentially sell and get my money back.
CH 11 Review pg. 294 #1-9, 11-18
1.diversification
2. capital gain
3. coupon rate
4. bull market
5. investment
6. financial intermediaries
7. junk bond
8. speculation
9. portfolio
11. Financial Intermediaries help channel funds from savers to borrowers.
12.

7. I would expect the bond at the AAA rating to be more expensive because it is more safe.
11.3 1-9
1. Two benefits of buying stock are earning dividends and selling stock for more than you paid for it. Two risks of buying stocks are losing money when the firm turns less profit than expected and loss of dividends.
2. Seats in the New York stock exchange handle only stock and bond transactions for the largest and most established companies in the country. The Nasdaq trades through online transactions.
3. Two popular indexes of stock performance are the Dow (index that shows how certain stocks have traded) and the S & P (index that shows the price changes of 500 different stocks).
4. Three causes of the Great crash were people buying consumer goods, even though they couldn't afford it, A relatively small amount of people controlled most of the nation's wealth, and industries were producing more goods than consumers could buy.
5. This will provide the help of allowing more people, who may not know enough to be stock brokers, or don't have enough money to pay for financial advice to enter the market. The downside is that this increase in market spending may result in an influx in poorly handled money situations resulting in bad decision making.
6. the advantages of buying futures is that you have to sell your stocks an others have to buy no matter what the situation of the market is. Since there is an up and a downside to this, for every person making money, someone else is losing it. The advantages of buying options is the control over your stuff, however you could lose money if you invest poorly.
7. Is the company on an incline?
What upcoming things might i look at as reasons that this investment will pay off?
What is the flow of the stock for this company over the past year?
8. No. Day trading is ridiculously hard. No matter how smart you are with your money, there seems to always be someone else who knows how to trade better than you who will take your share...
9. I would probably buy long term stocks and spend less money. That way i have money coming in (theoretically) and have some saved for buying my college tuition. then, if i need to i could potentially sell and get my money back.

May 20 - 11.2 Read pages 277-283. Answer Questions # 1-8
May 23 - 11.3 Read pages 285-292. Answer Questions #1-9
May 24 - CH 11 Review pg. 294 #1-9, 11-18
6. I would invest in a savings bond because i would feel the most safe, I have a proper amount of money for this type of investment, and will have made a fair amount of money.
7. I would expect the bond at the AAA rating to be more expensive because it is more safe.
11.3 1-9
1.

11.1 Read pages 271-275. Answer Questions # 1-8
May 20 - 11.2 Read pages 277-283. Answer Questions # 1-8
May 23 - 11.3 Read pages 285-292. Answer Questions #1-9
4. the more that you could potentially make on an investment (he use of assets to earn income or profit), the more you could potentially lose.
5. a student with $500 in a savings account is participating in the American financial system because they are being savers. The money that they put into the bank system can then be lent to borrowers with an interest charge, eventually turning a profit and moving the economy forward.
of money.
7. If i was investing, I would ask my financial advisor:
1) the recent, and long term growth of the stock that i was about to be investing into
b) CDs are fairly safe because they are insured by the federal govt. (however, right now...). The risk is very small, but you lose a lot of liquidity on the investment until you have reached the end of your time requirement.
c) Your neighbor's business could go under, all your money could go away. The return on the investment would most likely be minuscule, seeing as how petco and petsmart pretty much owns the business of pet care and any growth of the business is unlikely.
Ch. 11.2 1-8
1. Two ways that investors can make money from bonds are receiving an interest payment, and buying at a discount, but receiving the full price in return.
2. Bond ratings are useful to investors because it makes an easy rating system on for bonds and helps investors decide whether or not to buy the bonds.
3. Savings bond (low-denomination bond issued by the united states govt.), treasury bonds (bonds backed by the "full faith and credit" of the United States), municipal bonds (a bond issued by a state or local govt. or municipality to finance such improvements as highways, state buildings, libraries, parks, and schools), corporate bonds (a bond that a corporation issued=s to raise money to expand its business), and junk bonds (a lower rated potentially higher paying bond) are all different types of bonds.
4. Capital markets are markets in which money is lent for periods longer than a year and money markets are markets in which money is lent for periods of less than a year.
5. You will have earned $16.99.
6. I would invest in a savings bond because i would feel the most safe, I have a proper amount of money for this type of investment, and will have made a fair amount of money.
7. I would expect the bond at the AAA rating to be more expensive because it is more safe.

4. the more that you could potentially make on an investment (he use of assets to earn income or profit), the more you could potentially lose.
5. a student with $500 in a savings account is participating in the American financial system because they are being savers. The money that they put into the bank system can then be lent to borrowers with an interest charge, eventually turning a profit and moving the economy forward.
6. If my cousin's name was Bill, i would probably already have some trouble with giving him a loan. His name literally means a payment that you make. Anyways, i would probably loan him money if, and only if, he was good for it and charge a small (or no) interest because you shouldn't charge family for a simple thing like borrowing a small amount of money.
7. If i was investing, I would ask my financial advisor:
1) the recent, and long term growth of the stock that i was about to be investing into
2) the chance that I will get the money that i put in back along with profit
3) the figures that I should place into my investment, based on the 1st question's answer
8. a) the only risk on an investment on a savings bond is the potential for the bank going under, and even then, there is insurance. The return ins the small % that the bank promises when you deposit.
b) CDs are fairly safe because they are insured by the federal govt. (however, right now...). The risk is very small, but you lose a lot of liquidity on the investment until you have reached the end of your time requirement.
c) Your neighbor's business could go under, all your money could go away. The return on the investment would most likely be minuscule, seeing as how petco and petsmart pretty much owns the business of pet care and any growth of the business is unlikely.

11.1 Read pages 271-275. Answer Questions # 1-8
May 20 - 11.2 Read pages 277-283. Answer Questions # 1-8
May 23 - 11.3 Read pages 285-292. Answer Questions #1-9
May 24 - CH 11 Review pg. 294 #1-9, 11-18
May 25 - REVIEW for Unit II Exam
May 26 - Unit III Exam (100 pts)
May 27 - Final Project Due
11.1 #1-8
1. investment is the act of redirecting resources from being consumed today so that they may create benefits in the future; the use of assets to earn income or profit. It promotes financial growth because it allows people to make money in one area while spending time making money in another.
2. savers contribute to the financial system by "lending funds to others," borrowers contribute by loaning money; if they do not pay the loan the banks are entitled to take claim on property or income of the borrowers, and financial intermediaries are institutions that help channel funds from savers to borrowers.
3. the three roles of financial intermediaries are taking deposits from savers then lending out some of the funds to businesses/individuals, making loans to consumers and small businesses, and pooling savings of many individuals to invest in a variety of stocks, bonds, and other financial assets.
4. the more that you could potentially make on an investment (he use of assets to earn income or profit), the more you could potentially lose.
5. a student with $500 in a savings account is participating in the American financial system because they are being savers. The money that they put into the bank system can then be lent to borrowers with an interest charge, eventually turning a profit and moving the economy forward.

article 1
Now, my lakers may have lost but the memphis grizzlies are doing well so I'm a fan of them...thats how it works, right?
Anyways,back up for my madness
Anyways, the Grizzlies This is great. The grizzlies needed a good year and memphis needed something that didn't suck for memphis to happen.

article 1
Now, my lakers may have lost but the memphis grizzlies are doing well so I'm a fan of them...thats how it works, right?
Anyways, the Grizzlies are doing well...and turning a profit! This is

Apr 27 - Read 243-248...Answer the following questions
1. Describe the three uses of money.
2. Explain the six characteristics of money.
3. Give examples of commodity money, representative money, and fiat money.
4. Why does the U.S. currency have value?
5. Why did continentals become worthless?
6. What material(s) would you use if you were creating a new United States coin? WHY????
7. Pretend you live in a society that has a barter economy...What difficulties might you encounter in paying for such services as medical care and education?
1. money can be used as a medium of exchange, a unit of account, and a store of value.
2. money is durable, portable, easily divisible, uniform, limited, and acceptable.
3. an example of commodity money is precious stones. an example of representative money is an IOU. an example of fiat money is the US dollar.
4. the US currency has value because the government placed that value on it in order to simplify exchange.
5. continentals became worthless when fiat money was established because the fiat money made the exchange of continentals more difficult and eventually obsolete.
6. if i was making a new united states i would use only coins and credit. all major money was spent via card and the black market, which is virtually unstoppable would use the coins.
7. i feel that it would be difficult to work for barter systems. like i couldn't work for 3 hours in exchange for 2 chickens...
May 10 - Read 10.3 Answer the following questions completely
1. Money is measured by being divided into different categories. M1 is money that people can get access to easily. M2 is all assets and value of M1 that can't be spent as money.
2. Financial institutions store money, save money, provide loans, provide mortgages, creating profit, and providing credit cards simple compound interest and banking.
3. banks make money on interest taken when giving loans.
4. Commercial banks, saving/loan associations, savings banks, and credit unions make up all the types of financial institutes.
5. Online banking has sped up all banking. We have shifted from all money transaction to nearly all credit transactions. now you can transfer any money anywhere at anytime. Also its very easy to keep track of funds.