GENERAL KNOWLEDGE

GK

INDIAN ECONOMY

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
____ What is called “Blue Chip”?
A
Companies which are run by large corporate houses
B
A company, whose share always provides profit
C
A multinational company
D
A company which is listed on a foreign stock exchange
Explanation: 

Detailed explanation-1: -A blue chip stock is a huge company with an excellent reputation. These are typically large, well-established, and financially sound companies that have operated for many years and that have dependable earnings, often paying dividends to investors.

Detailed explanation-2: -Blue chips stocks are shares of very large companies which has sound financial performance. These stocks have capabilities to endure tough market conditions and give high returns in good market conditions. These stocks have High Costs.

Detailed explanation-3: -In the investment world, a blue chip company is well-known, well-established, and well-capitalized. Such a company is considered to be a leading company in its sector and produces dominant goods or services.

Detailed explanation-4: -Definition: Blue chip stocks are shares of very large and well-recognised companies with a long history of sound financial performance. These stocks are known to have capabilities to endure tough market conditions and give high returns in good market conditions.

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