Why Do Corporations Generally Invest in Debt or Equity Securities

question 2

Multiple Choice

Why do corporations generally invest in debt or equity securities?

• A) They have excess cash.
• B) They want to generate earnings from investment income.
• C) They invest for strategic reasons.
• D) All of these answer choices are correct.

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Definitions:

Viable Population

A population size capable of maintaining or increasing its numbers over time, ensuring long-term survival and genetic diversity.

Population Dispersion

The pattern of spacing among individuals within a geographic area, which can be uniform, random, or clumped.

Whooping Crane

A large North American bird species, noted for its white plumage and loud, whooping calls, currently endangered.

Emigration

The act of leaving one's own country to settle permanently in another, moving abroad.