ECONOMICS (CBSE/UGC NET)

ECONOMICS

SAVING AND INVESTING

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Stock is a small piece of ownership in a company.(A stock is a type of investment that represents an ownership share in a company. Investors buy stocks that they think will go up in value over time.)
A
True
B
False
C
Either A or B
D
None of the above
Explanation: 

Detailed explanation-1: -Definition: A stock is a general term used to describe the ownership certificates of any company. A share, on the other hand, refers to the stock certificate of a particular company. Holding a particular company’s share makes you a shareholder. Description: Stocks are of two types-common and preferred.

Detailed explanation-2: -A stock is a security that represents a fractional ownership in a company. When you buy a company’s stock, you’re purchasing a small piece of that company, called a share.

Detailed explanation-3: -What Are Stocks? A stock, also known as equity, is a security that represents the ownership of a fraction of the issuing corporation. Units of stock are called “shares” which entitles the owner to a proportion of the corporation’s assets and profits equal to how much stock they own.

Detailed explanation-4: -A stock, also known as equity, is a security that represents a fractional share of ownership in a company. When you purchase a stock from a company, you become a shareholder, and the small piece you own is called a share.

Detailed explanation-5: -Common stock is a security that represents ownership in a corporation. In a liquidation, common stockholders receive whatever assets remain after creditors, bondholders, and preferred stockholders are paid.

There is 1 question to complete.