Question

What are stocks? Loans people make to a government and expect to be repaid A pool of money from investors that is invested in many ways Retirement savings accounts that are tax deferred Shares of ownership in a company that may pay dividends

Answer 1

Answer:

The correct answer to the following question is the last option - the shares of ownership in a company that may pay dividends .

Explanation:

Stocks which are also popularly know as shares or equity, can be defined as one of the types of securities which signifies the proportion of ownership in the issuing company . If a person ( who is know as the shareholder or stockholder ) holds a company's shares , then that person is entitled to the proportion of company's assets and earnings ( the proportion would depend upon the number of shares he or she is holding ) . If a company earns profit, then that shareholder would receive some portion of that earning in form of dividends .