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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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17y ago

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Does an LLC have stock available for purchase by investors?

No, an LLC does not have stock available for purchase by investors. Instead, ownership in an LLC is represented by membership interests.


What is in effect when investors purchase stock?

supply and demand


Why do investors purchase common stockI?

Investors purchase common stock primarily to gain ownership in a company, which allows them to benefit from its growth and profitability through potential capital appreciation and dividends. They also seek to diversify their portfolios, manage risk, and participate in shareholder voting on corporate matters. Additionally, investing in common stock can offer higher returns compared to other asset classes, albeit with increased risk.


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Most investors purchase stock markets(or exchanges)


Which of these gives investors a voice in the operation of a business?

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Guaranteed dividends


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.


Is it possible to purchase stock in a private company?

Yes, it is possible to purchase stock in a private company, but it is typically limited to accredited investors or through private placements.


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


Is it possible to purchase stock directly from a company?

Yes, it is possible to purchase stock directly from a company through a direct stock purchase plan (DSPP) or a dividend reinvestment plan (DRIP). These plans allow investors to buy shares of a company's stock without going through a broker.


What are margin requirements?

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