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in hopes that others will also purchase the stock, causing the price to go up...it's the basic law of supply and demand: if more people want to buy than sell, the price goes up, and vice-versa.
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∙ 16y ago
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What Common stock ownership gives investors?
Guaranteed dividends
How are most stocks bought and sold?
Most investors purchase stock markets(or exchanges)
What are margin requirements?
Margin requirements are the amount of credit granted investors for the purchase of securities, such as shares of stock.
What factors influence the value of common stock?
supply and demand Q : But is that all? Same goes to prefered stock? 1. Expectations of the investors on the corporation's performance in the future. (a) A company is expected to make an affluent sum of profit in the future, investors saw an opportunity to make money, therefore they purchase its stock, causing the stock price to rise. (b) A company is expected to pay an affluent sum of dividend in the near future. 2. The performance of the company, balance sheet numbers (revenues vs expenses). Preferred Stock: One of the difference between a preferred stock and a common stock is that a holder of a preferred stock has a privilege of obtaining a part of the dividend when the dividends are being declared.
Why do investors buy stock in a corporation?
Investors buy stock in corporations because they expect the value of stock to rise and they wish to receive dividends (shares of profit).
What is in effect when investors purchase stock?
supply and demand
What Common stock ownership gives investors?
Guaranteed dividends
Which of these gives investors a voice in the operation of a business?
common stock
How are most stocks and sold?
Most investors purchase stock markets(or exchanges)
Advantages of common stock?
Common stock ownership represents owning an equity share of a company. For a very small sum of money, first-time investors can purchase one share in a variety of companies, to kick off their investment portfolios.
How are most stocks bought and sold?
Most investors purchase stock markets(or exchanges)
Following the stock market crash brokerage asked investors to pay off many that had been borrowed to purchase stock?
Commentry
What is a joy stock company?
A joint stock company is a business that is owned by more than one owner and has had a percentage stake held by public investors. Public investors purchase a stake in the company by buying ordinary shares through a stock exchange.
Explain the three ways investors can make money from common stock?
frozen pizza
What are margin requirements?
Margin requirements are the amount of credit granted investors for the purchase of securities, such as shares of stock.
What is a exchange in the stock market?
An Exchange in a stock marketrefers to the common place where investors go to buy/sell shares.Its an organized medium through which investors can trade in shares without any difference.
What is a long-term technique used by investors who purchase an equal dollar amount of the same stock at equal intervals in time called?
A long-term technique used by investors who purchase an equal dollar amount of the same stock at equal intervals in time is called Dollar cost averaging.
