Which statement best describes stocks?
A) They should be purchased when prices are high and sold when prices are low.
B) They are an investment in a company’s progress and profits.
C) They are a type of investment that includes raw materials and natural resources.
D) They should be purchased only as long-term investments.

Respuesta :

The answer is: B, They are an investment in a company's progress and profits.

When people buy stocks from a company, those people basically buy a part of ownership of that company. As the company progress and obtain profits, the holders of the stocks are entitled to some percentage of the dividend that company announce for each stock.

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