general mathematics stocks and bonds (terminologies)

• Investment refers to the use of assets for earning income or profit.
• Stock is the shared ownership of the business.
• Dividend is a part of business profit.
• Dividend Share is the proportion of dividends to shares.
• Stock Market is where inventory can be purchased or sold.
• Market Value is the current selling price of a stock.
• Stock Yield Ratio is the annual dividend per share.
• Par Value is the per share amount listed on the company certificate that remains consistent over time.
• Bonds are loans provided to an organization with a promise to payback with interest.
• Coupon Rate is the rate per coupon payment period.
• Common Stocks is a class of stocks that represents equity ownerships in a corporation.
• Preferred Stocks give their owners a priority claim whenever a company pays dividends or distributes assets to shareholders.
• Maturity Date is the date on which par value must be paid.
• Call option gives the issuer the opportunity to repurchase the bonds prior to maturity.
• Coupon is the interest payment paid to the bond holder.
• Face Value > payment at the maturity of the bond also called par value or maturity value
• Yield to Maturity > the rate required in the market on a bond
• Money market > short term issues that mature within one year
• Notes > intermediate term issues that mature between one and ten years
• Serial bonds> Bonds that mature in installment
• Zero coupon bonds > a type of bond that makes no coupon payments but instead is issues at a considerable discount to par value
• Term Bonds > That mature at a single specified future date