EIB Test April 2008 | Page 102

Raina You UC Riverside Extension Center, 1200 University Ave, Riverside CA 92507-4596 Tel : (951) 329 – 2536 Email : [email protected] Memorandum 2 Date: Tuesday, August 3, 2011 To: From: Class: Subject: Eamon John McGowan Raina You EIB2 Stock Project Memo 2 Introduction I chose the three companies for investment in stock project which is progressing from July 18 to August 1. In this project, I chose the Amazon.com as a high risk company, and I spent $11901.68 to buy 56 shares at $212.53 each. After the last opening day in this project, I earned $698.32 from Amazon.com because the share price of the company increases to $225. The next company I chose is the Walt Disney Company Commo for low risk company. I invested $12009.84, and then I lost my money $119.73 because the stock prices rapidly decrease. The last company I chose is Gravity Ltd., the developing and distribution of the online game company in Korea. I bought the 3529 shares from Gravity Ltd., and I got 3529 shares. However, the stock of the company is going down, so I lose $352. 9. In short, I earned money from these three companies total $225.69 Company Stock Prices Analysis High Risk Company: Amazon.com, Inc. (AMZN) Today there are many companies based on the Internet. Amazon.com is one of the successful internet business companies that started the business as a online book store. The company is expanding their business to sell more things like home appliances, record and sporting goods as well as books. Also, the company tries to lead the e-book market. The Kindle that drives e-book market revitalized is an e-book reader developed by Amazon.com, and it is successful even though there are many alternative such as the tablet PC or I-pad. In these reasons, Amazon.com is a company with a competitive edge that can survive in the market.