In the Securities Markets, Capital Gains Take Place When

question 125

Multiple Choice

In the securities markets, capital gains take place when

• A) the value of the Dow Jones Industrial Average appreciates.
• B) a security sells for more than the original purchase price.
• C) additional investors buy stock in an existing corporation.
• D) stockholders profit from the firm's use of leverage.

---

Definitions:

Receiver's Perception

The way in which the intended audience interprets or understands a message.

Preventable Crisis

A critical situation that can be avoided through the implementation of effective planning and risk management strategies.

Organizational Misdeeds

Actions or behaviors within a company that are unethical, illegal, or otherwise harm the organization's stakeholders.

Inductive Approach

A reasoning process that involves making broad generalizations from specific observations.