Quiz On Wall Street
This quiz is about Wall Street give answer if you have knowledge about it
Questions and Answers
- 1.
How many people signed the Buttonwood Agreement?
- A.
Twenty
- B.
Twenty-Four
- C.
Twelve
- D.
Thirty
Correct Answer
B. Twenty-FourExplanation
The correct answer is Twenty-Four. The Buttonwood Agreement was signed by 24 stockbrokers in 1792 under a buttonwood tree on Wall Street in New York City. This agreement laid the foundation for the New York Stock Exchange (NYSE) and established rules and regulations for trading securities among the signatories.Rate this question:
-
- 2.
How many points did the NASDAQ drop on October 27, 1997?
- A.
100
- B.
115
- C.
150
- D.
265
Correct Answer
B. 115Explanation
On October 27, 1997, the NASDAQ dropped by 115 points. This indicates that the overall value of the NASDAQ index decreased by 115 points on that specific day.Rate this question:
-
- 3.
What is the slang term for a 15-year Participation Certificate sold by Freddie Mac?
- A.
Witch
- B.
Wizard
- C.
Elf
- D.
Gnome
Correct Answer
D. GnomeExplanation
The correct answer is "Gnome." In this context, "Gnome" is a slang term used to refer to a 15-year Participation Certificate sold by Freddie Mac. It is likely that this term is used informally within the industry or among professionals familiar with Freddie Mac's products and services.Rate this question:
-
- 4.
Who wrote the book "Wall Street Money Machine"?
- A.
John Maynard Keynes
- B.
Michael Milken
- C.
Wade B. Cook
- D.
Alan Greenspan
Correct Answer
C. Wade B. CookExplanation
Wade B. Cook is the author of the book "Wall Street Money Machine".Rate this question:
-
- 5.
Which U. S. Government debt security matures in less than one year?
- A.
Treasury Note
- B.
Treasury Bill
- C.
Government CD
- D.
Treasury Bond
Correct Answer
B. Treasury BillExplanation
A Treasury Bill is a U.S. Government debt security that matures in less than one year. It is a short-term investment option issued by the U.S. Department of the Treasury to raise funds and finance government operations. Treasury Bills are typically issued with maturities of 4 weeks, 13 weeks, or 26 weeks, making them a suitable choice for investors looking for a short-term, low-risk investment. They are sold at a discount from their face value and the investor receives the face value upon maturity, making them an attractive option for those seeking liquidity and capital preservation.Rate this question:
-
- 6.
How long did it take the Dow Jones Industrial Average to recoup its losses from the Crash of 1929?
- A.
Five Years
- B.
Fifteen Years
- C.
Ten Years
- D.
Twenty-Five Years
Correct Answer
D. Twenty-Five YearsExplanation
The Dow Jones Industrial Average took twenty-five years to recover its losses from the Crash of 1929. This indicates that it took a significant amount of time for the stock market to regain its previous levels and for investors to recoup their losses.Rate this question:
-
- 7.
What is it called when an investor holds a stock for a long time despite indicators that he should sell?
- A.
Marrying A Stock
- B.
Buffeting
- C.
Seeing The Horizon
- D.
Long Haul Investing
Correct Answer
A. Marrying A StockExplanation
When an investor holds a stock for a long time despite indicators that he should sell, it is referred to as "Marrying A Stock". This term implies a strong emotional attachment to the stock, similar to a marriage commitment, where the investor is unwilling to let go of the investment despite potential risks or negative signals. This behavior can be driven by various factors such as sentimental attachment, overconfidence in the stock's performance, or reluctance to realize losses.Rate this question:
-
- 8.
Which group recorded the 1970's pop song "Wall Street Shuffle"?
- A.
Moby Grape
- B.
The Kinks
- C.
Steve Miller Band
- D.
10cc
Correct Answer
D. 10ccExplanation
10cc recorded the 1970's pop song "Wall Street Shuffle".Rate this question:
-
- 9.
What stock has CASH for its symbol?
- A.
Chase Manhattan
- B.
Bank Of Chicago
- C.
First Midwest Financial, Inc
- D.
Bank Of America
Correct Answer
C. First Midwest Financial, IncExplanation
The stock with the symbol "CASH" is First Midwest Financial, Inc. This symbol suggests that the company may have a strong focus on cash management or financial services related to cash. The other options do not have the symbol "CASH" associated with them.Rate this question:
-
- 10.
When was The Walt Disney Company added to the Dow Jones Industrial Average?
- A.
1985
- B.
1995
- C.
1991
- D.
1980
Correct Answer
C. 1991Explanation
In 1991, The Walt Disney Company was added to the Dow Jones Industrial Average. This means that Disney's stock became part of the index, which is a benchmark for the overall performance of the stock market. Being included in the Dow Jones Industrial Average is a significant milestone for a company and often reflects its prominence and influence in the market.Rate this question:
-
- 11.
What happens to the price of a share of stock when the stock splits?
- A.
The Price Goes Up
- B.
It Goes Down
- C.
The Price Stays The Same
- D.
None Of These
Correct Answer
B. It Goes DownExplanation
When a stock splits, the total number of shares increases while the price per share decreases. This means that the overall value of the shares remains the same. The decrease in price per share after a stock split is intended to make the shares more affordable for retail investors and increase liquidity in the market. Therefore, the correct answer is "It Goes Down."Rate this question:
-
- 12.
Which of the following is an example of fictitious trading?
- A.
Floating
- B.
Directional Trading
- C.
Bucketing
- D.
Ginzy Trading
Correct Answer
C. BucketingExplanation
Fictitious trading refers to the practice of creating false trades or transactions to manipulate market prices or deceive investors. Bucketing is an example of fictitious trading where a broker executes trades on behalf of clients but does not actually enter them into the market. Instead, the broker keeps the trades "in the bucket" and may manipulate prices or outcomes to their advantage. This deceptive practice is illegal and can harm investors by distorting market prices and creating false perceptions of market activity.Rate this question:
-
- 13.
The largest and most important of twelve, the Federal Reserve Bank of New York is also known as what?
- A.
The Non-Bank Bank
- B.
The Boneyard
- C.
The Big One
- D.
The Graveyard
Correct Answer
B. The Boneyard -
- 14.
What technological advance was first used on the New York Stock Exchange in 1953?
- A.
Designated Order Turn Around System
- B.
Automated Quotation Service
- C.
Radio Pagers
- D.
Electronic Ticker Display Board
Correct Answer
B. Automated Quotation ServiceExplanation
The correct answer is Automated Quotation Service. In 1953, the New York Stock Exchange introduced the Automated Quotation Service, which allowed for the automatic dissemination of stock quotes. This technological advance revolutionized the way stock prices were communicated and made it easier for traders and investors to access real-time market information.Rate this question:
-
- 15.
What is a European term for a stock exchange in a continental city?
- A.
Geldplatz
- B.
Bourse
- C.
Agora
- D.
Champlon
Correct Answer
B. BourseExplanation
The European term for a stock exchange in a continental city is "Bourse". The term "Bourse" is commonly used in European countries, particularly in France and Belgium, to refer to a stock exchange. It is derived from the French word "bourse" which means purse or wallet, symbolizing the financial transactions that take place in the stock exchange.Rate this question:
-
- 16.
What term describes the group of all shares representing ownership in a corporation?
- A.
Blue Chip Stock
- B.
Capital Stock
- C.
Preferred Stock
- D.
Common Stock
Correct Answer
B. Capital StockExplanation
Capital stock refers to the total amount of shares that a corporation is authorized to issue. It represents the ownership in a corporation and is the term used to describe the group of all shares. Blue Chip Stock refers to stocks of well-established and financially stable companies. Preferred stock refers to a class of stock that has higher priority over common stock in terms of dividend payments and liquidation. Common stock represents the ownership in a corporation and typically carries voting rights.Rate this question:
-
- 17.
What term describes the market in which new issues of securities are first offered to the public?
- A.
Public Market
- B.
Primary Market
- C.
IPO
- D.
Secondary Market
Correct Answer
B. Primary MarketExplanation
The term that describes the market in which new issues of securities are first offered to the public is the primary market. In the primary market, companies sell their securities directly to investors, allowing them to raise capital for their business operations. This is usually done through methods like initial public offerings (IPOs), where shares of a company are sold to the public for the first time. The primary market is different from the secondary market, where already issued securities are bought and sold among investors.Rate this question:
-
- 18.
On the New York Stock Exchange, what is a 100-share unit called?
- A.
Even Lot
- B.
Odd Lot
- C.
Regular Lot
- D.
Round Lot
Correct Answer
D. Round LotExplanation
A 100-share unit on the New York Stock Exchange is called a "Round Lot." This term refers to a standard trading unit size, typically used by institutional investors and traders. It is important to note that the term "round" does not refer to the shape of the lot, but rather to the standardized quantity of shares being traded.Rate this question:
-
- 19.
What year did the New York Stock Exchange have its first million share day?
- A.
1906
- B.
1896
- C.
1886
- D.
1876
Correct Answer
C. 1886Explanation
The correct answer is 1886. In this year, the New York Stock Exchange experienced its first million share day. This means that for the first time in history, one million shares of stock were traded on a single day on the exchange. This milestone is significant as it indicates the increasing volume and activity in the stock market during this time period.Rate this question:
-
- 20.
What is a term for an abrupt decline in prices that comes immediately after a major stock market rally?
- A.
Retracement
- B.
Hole-In-The-Wall
- C.
Drop-Off
- D.
False Breakout
Correct Answer
B. Hole-In-The-WallExplanation
A "hole-in-the-wall" is a term used to describe an abrupt decline in prices that occurs immediately after a major stock market rally. This term is often used to depict a sudden and significant drop in stock prices, similar to how a hole in a wall can cause a sudden and unexpected change in the appearance of a room.Rate this question:
-
Back to top