A Stock That Pays Higher Than Average Dividends Is Called

question 81

Multiple Choice

A stock that pays higher than average dividends is called a(n) ____________ stock.

• A)defensive
• B)income
• C)growth
• D)cyclical
• E)blue-chip

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Definitions:

Investment Project

A specific plan or initiative undertaken by a business or organization involving capital investment aimed at achieving certain financial or strategic goals.

Interest

The cost paid by a borrower for the use of borrowed money, or the income earned by an investor on their investment.

Inventory

The total amount of goods and materials held in stock by a business, intended for sale or production purposes.

Opportunity Cost

The cost of the next best alternative foregone as the result of making a decision.