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Blababa [14]
3 years ago
15

What do individual shareholders gain when they buy shares of a companies stock?

Business
1 answer:
baherus [9]3 years ago
6 0
Share Ownership by Individuals.
Did you know owning shares means tax advantage. Your tax situation can benefit from using the tax advantage that come with fully franked dividends.owning shares also means you are a company owner. When you are buying shares you are buying the company`s asset and its profits. All that told there many advantages that come along with purchase of shares by an individual who wishes to invest his capital in shares.
Benefits of Owning Shares.

1. Stock Owners Take Advantage of a Growing Economy.
As the economy grows so do cooperates earning that is because economic growth creates income this will create a consumer demand that will automatically drive more revenue into companies register an lead to rise company`s share value.
2. Easy to Buy.
The stock market has made it easy to by shares from companies. They can be purchased through  a broker, financial planner or online. Once you have set up an account you can stock at any minute. The stock market runs 24 hours, five days a week making the market reliable and sufficient.
3.They are the Best Way to Stay Ahead of Inflation.
Historically stocks have averaged an annual return of 10%. That is better than the annual inflation of 3.2%. It  means you have a longer time horizon. That way a stock owner is limited to the risks aligned with the stock market.
4. They are easy to sell.
The stock market allows you to sell your shares at anytime. That will surely help if you really need the cash in a hurry. One disadvantages related to this is that the prices are really volatile so the shareholder runs the risk to make losses when the make haste decisions.
5. You make money in two ways. 
Many investors tend to by shares when they have low prices and sell when they are high. They invest in companies that appreciate in value at at either a fast rate or moderate rate. This attracts both day traders and buy-hold investors and  this bridges the gap in making money in to ways.  
 
Summery.
A well defined portfolio will provide most benefits and fewer risk arising to stock ownership. to exchange you shares at a limited risk and get to earn more experts advice apart from stock ownership alone have a mix of stock bonds and commodities. This has proven to be the best way to make highest returns at lower risk. It is important to note that shareholders in stock market contribute close to 80% of the revenue in the market.

 
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Social considerations can be used to justify ____
Yuki888 [10]

Answer:

A) Allowance of a credit for child care expenses - child care is an important part of social policy, and many experts argue that it should be free in order to promote healthy demographics and social cohesion.

C) Allowing accelerated amortization for the cost of installing pollution control facilities - this would make said pollution control facilties cheaper, and less pollution is a social concern and a social policy because it benefits society as a whole. (Pollution is the most common example of externality).

D) Allowing a Federal Income Tax deduction for state and local taxes - as long as these deductions are applied progressively, ideally, only to poor people.

3 0
3 years ago
Who are the main stakeholders that the y is attempting to reach with the information it has gained through its market research?
Hitman42 [59]

The main stakeholders that the Y is attempting to reach with the information it has gained through its market research are the Primary stakeholders and the Secondary stakeholders.

There are three types of market research- Descriptive, Exploratory, and Causal. Y has conducted causal market research wherein the effect of change on the current operations is quantified.

Here, in this causal market research, Y is attempting to reach the Primary stakeholders and the Secondary stakeholders with the information it has gained through its market research.

Primary stakeholders are those individuals, groups or entities who are involved with the monetary transactions of an organization. Primary stakeholders include- employees, customers, investors, banks, lenders etc.

Secondary Stakeholders are the stakeholder who are not directly involved in a company, thus, they have indirect influence over the company. Secondary stakeholders include- competitors, government, trade unions, community etc. These groups do not have any financial interest in the company.

Hence, the answer is given and explained above.

To learn more about the stakeholders here:

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7 0
2 years ago
A firm will experience a loss when its revenue is less than its expenses
tatiyna
The answer for this question is True
5 0
3 years ago
Suppose that production for good X is characterized by the following production function, Q = K0.5L0.5, where K is the fixed inp
Ad libitum [116K]

Answer:

B). $12

Explanation:

As per the given data, the AFC(Average Fixed Cost) for employing 25 factors of labor and 16 factors of capital would be $12.

We are given the production function,

Q = K^{0.5} L^{0.5}

where,

K = allotted input in short-term

Rental rate of each unit/factor(r) = $15

Wage per factor(w) = $5

As we know, the two inputs are labor, as well as, capital;

To find AFC, we need TC;

so,

TC = (Fixed cost + Variable cost)

TC = (240(15 * 16) + 125(25 * 5) = 365

Thus,

AFC = $ 12

8 0
3 years ago
How experiences will help in picking a career?
alexdok [17]

Answer:

well to be honest the more you are focused and stuff and get used to like any  subject that can help you in the near future.

Explanation:

3 0
3 years ago
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