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Re: I semi-understand stocks now.

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Shadow_Person is not online. Shadow_Person
Joined: 01 Mar 2016
Total Posts: 2567
10 Aug 2016 12:42 PM
Woo, go me.
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BiggleMan is not online. BiggleMan
Joined: 02 Sep 2013
Total Posts: 20418
10 Aug 2016 12:44 PM
i've asked my dad about them so much and i'm still confused
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xBBLox is not online. xBBLox
Joined: 10 Jul 2014
Total Posts: 4357
10 Aug 2016 12:46 PM
i dont understand socks
but i do understand stocks
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CatBoy1235 is not online. CatBoy1235
Joined: 08 Jul 2010
Total Posts: 74634
10 Aug 2016 12:47 PM
I hope I learn about them in accounting
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TheBusiness_Pilgrim is not online. TheBusiness_Pilgrim
Joined: 29 Mar 2015
Total Posts: 2167
10 Aug 2016 12:48 PM
makes no sense to me
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Shadow_Person is not online. Shadow_Person
Joined: 01 Mar 2016
Total Posts: 2567
10 Aug 2016 02:29 PM
Imagine a business as a pizza, the size of the pizza is determined by how much money the business has. By purchasing stock you are owning a percentage of the business, and also a percentage of the earnings with it. In our example this means taking a slice of the pizza. And when the pizza/business makes money it expands, along with your slice. So if you buy stock in a really small business, say you get 1%. And now that business makes a lot of money, you still own one percent, but you own one percent of more now. Instead of owning 1% of 100 dollars, you own 1% of a billion, which means you have made money. However businesses make and loose money, this means that you can get a stock, but if the business flops and looses a lot of money, you loose money too.
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gryphunk2 is online. gryphunk2
Joined: 04 Mar 2013
Total Posts: 10872
10 Aug 2016 02:32 PM
@shadow_person
that's actually a good way to represent it


r+://409813907r+://436385860 R$12 | follow me on twitter @cleaningtheroom \(°—°)/
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Shadow_Person is not online. Shadow_Person
Joined: 01 Mar 2016
Total Posts: 2567
10 Aug 2016 02:36 PM
@gry. Aww, thanks.

@everyone. You may wonder why a business would sell stocks. It is giving itself away and others are profiting off of it, so why would it do this? Well businesses do this because you have to buy a stock, so that means they make money, and you make money. It is a win win. Also if they loose money, that means of percentage of the loosings are not theirs, they are yours. So stocks are a kind of insurance in some ways.
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