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Q: What is the type of company where investors hope to share in the profits?
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Why do investors buy stocks?

you buy stock's to hope that the price you bought them for rises, so you can then sell them, then subract the difference and gain a nice sum of cash.


Why do shareholders invest in companies?

People can buy shares (bits of the company) at a certain price per share. The money raised in this way is invested into the company. When the company trades its share price depending on its success will go up or down. Investors always hope to see the price go up. That way they can sell their shares at that price which will be greater than when they bought them and make a profit.


A stock trades for 1.25 per share What might that company actually do in order to avoid being classified as a penny stock?

A "penny stock" has different meanings, but generally a stock is considered to be a penny stock if its share price is below $5 a share. A company can do several things to avoid this classification: 1. Do a reverse split. The company decreases its share count by a factor that increases the share price by this same multiple. This is the opposite of the more commonly known forward stock split. 2. Focus on positive cash flow. Inevitably a stock price will increase if a company can consistently bring in cash and increase the overall assets of the company. 3. Enter new markets - introduce new products - make deals - promote investment awareness. There are numerous other inventive ways a company can hope to persuade investors to purchase the stock. Investing is more art than science; the market will decide the value of a company based on expectations of future profits.


Is asda a public limited company?

Yes asda is a public limited company. Asda's shares can be bought on the share market so that makes itpublic limited company.. Hope I helped.


Merchants who took risks to earn high profits?

Entrepreneurs were merchants who took risks in the hope of high profits.

Related questions

Why do investors buy stocks?

you buy stock's to hope that the price you bought them for rises, so you can then sell them, then subract the difference and gain a nice sum of cash.


What is the difference between shareholder and owner?

An owner - has sole responsibility for the financial success of a business. A shareholder - is an investor in someone else's business - with the hope of being rewarded by a share in the company's profits.


Why do shareholders invest in companies?

People can buy shares (bits of the company) at a certain price per share. The money raised in this way is invested into the company. When the company trades its share price depending on its success will go up or down. Investors always hope to see the price go up. That way they can sell their shares at that price which will be greater than when they bought them and make a profit.


A stock trades for 1.25 per share What might that company actually do in order to avoid being classified as a penny stock?

A "penny stock" has different meanings, but generally a stock is considered to be a penny stock if its share price is below $5 a share. A company can do several things to avoid this classification: 1. Do a reverse split. The company decreases its share count by a factor that increases the share price by this same multiple. This is the opposite of the more commonly known forward stock split. 2. Focus on positive cash flow. Inevitably a stock price will increase if a company can consistently bring in cash and increase the overall assets of the company. 3. Enter new markets - introduce new products - make deals - promote investment awareness. There are numerous other inventive ways a company can hope to persuade investors to purchase the stock. Investing is more art than science; the market will decide the value of a company based on expectations of future profits.


A risky stock purchases made by investors with the hope of high returns?

Risky stock purchases are investments made by investors who are seeking high returns at the expense of a higher level of risk. These stocks typically belong to companies with uncertain financial performance or are in volatile industries. Investors take on the risk with the expectation that the stock's value will increase significantly over time, leading to substantial profits.


Is asda a public limited company?

Yes asda is a public limited company. Asda's shares can be bought on the share market so that makes itpublic limited company.. Hope I helped.


Merchants who took risks to earn high profits?

Entrepreneurs were merchants who took risks in the hope of high profits.


Who are the people that are interested in the financial statements of a business?

the people who are interested in the business financial statement are : -- the BIR -- the business's prospective investors -- the management -- the owner of the company/business hope this answer helps you


Does equity financing cause a dilution of ownership?

Yes. but if old investors donot buy more shares with same ratio in new offering, but old shareholders again buy more shares with the old ratio in new offering then there is no change in the ownership of shareholder.For example if a company has $ 100 Equity and one shareholder holds $10 in company capital then he has 10 % share.Now if company issue $100 more equity to new share holders then total equity capital raise to $200 but that share holder doesnot purchase more share in new issue and his investment remains at $10 so now his share in company's share capital becomes:10/200 = 5%So it shows if old investor do not buy from new offering equalls to old ratio of 10% in new offering then his ownership share has dilluted but if he buys 10% more from new offering then his share will be10 + 10 = 20/200 = 10%Hope it will answer your question.


What are dividens?

General MathA dividend is the number that is divided by the divisor. The answer would be the quotient. In a mathematical sentence it would look like this: dividend divided by the divisorequals the quotient.InvestingA dividend is a payment made to the shareholders as a way to share company profits. It is generally only paid by the largest companies and is not guaranteed. If the company has no viable use for the cash from profits, paying a dividend is a way to increase shareholder loyalty. It is expressed as a percentage. The dividend is divided into the price of an individual share of common stock to arrive at the dividend percentage.In Mathematics. a dividend is a number that is to be divided by a divisor, resulting in a quotient.


What is use of mathematics in business?

There are many uses of mathematics in businesses. Share market is one use so if it has good mathematical statistics then it is a good company to invest in. Profits and losses is another mathematical operation. Also how much salary and other benefits like compensation, commission etc is decided by mathematical operations. Finding out how much money a company makes, interest and all that is through use of mathematics. Hope this is good enough :)


How was Jamestown funded?

It was funded by an investment company. The 104 men were sent to look for gold and to bring a profit for the company. It was not founded to create a colony, but they picked the worse land to build a fort on in the whole area. The water was bad, the mosquitos carried disease, they set up camp in a Native American empire of 15,000, a Spanish spy was with them, and they didn't plant crops. Within 6 months only 34 men were alive and disease/starvation took their toll.