USA HISTORY

THE VIRGINIA DYNASTY 1801 1825

AMERICAN INDUSTRIALIZATION FACTORY SYSTEM AND MARKET REVOLUTION

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Corporations are organizations that
A
receive federal funding
B
sell stock to the public
C
have a monopoly on a product or service
D
earn profits for their workers
Explanation: 

Detailed explanation-1: -What are Public Companies? Public companies are entities that trade their stocks on the public exchange market. Investors can become shareholders in a public company by purchasing shares of the company’s stock.

Detailed explanation-2: -A public company is one that issues shares that are publicly traded, meaning the shares are available for anyone to buy on the open market and can be sold, usually very easily.

Detailed explanation-3: -Are all corporations public? The answer is no; some corporations are traded only privately and not on the stock market. Many public companies start as private businesses, some even as sole proprietorships.

Detailed explanation-4: -“Why do corporations sell stock?” is a common question from novice investors and entrepreneurs. Reasons why corporations sell stock include raising capital, developing a new product, growing a business, and paying off debt.

Detailed explanation-5: -Corporations issue stock to raise money for growth and expansion. To raise money, corporations will issue stock by selling off a percentage of profits in a company.

There is 1 question to complete.