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The difference between the share's nominal value and its sale price. It is the amount in
excess of the face value of a share charged by a company on its share issue. TOP CAREERS & YOU
+91-161-460-908,461-364 TCYONLINE WE COACH THE NATION Stock
Stock means representation of ownership in a company. Stock, share, security and equity,
scrip mean the same.
Stock exchange is an organized marketplace for buying and selling listed securities. Stock
exchange is also known as bourse.
Stock index is a measurement of the trend of share prices. The BSE, NSE NASDAQ are the
three most widely quoted market indexes.
When a company splits its stock, it means that it will issue additional shares to the existing
investors by reducing the face value of a stock.
Buying and selling of stocks is called as stock trading.
A member of the stock exchange who is licensed to buy or sell shares on his own or on his
client's behalf. He charges a commission brokerage on the deals.
Shares that are traded below their book value or the price-earning ratio.
Yield is the return earned by the investor or shareholder on his investment. TOP CAREERS & YOU
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This note was uploaded on 07/20/2012 for the course ECON 203 taught by Professor Girishdev during the Spring '12 term at Indian Institute of Technology, Kharagpur.
- Spring '12