Which of the Following Is an Advantage of Organized Stock

question 6

Multiple Choice

Which of the following is an advantage of organized stock exchanges?

• A)increased stock price volatility
• B)screening companies to ensure only low risk stocks are sold
• C)providing a continuous market
• D)only profitable companies may issue new securities on an organized exchange

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Definitions:

Business Environment

The combination of internal and external factors that influence a company's operating situation, including economic, legal, political, and social conditions.

Information

Data that is processed, organized, structured, or presented in a given context to make it meaningful and useful.

Ratio Data

A type of quantitative data that not only measures the magnitude but also allows for the comparison of differences and the calculation of ratios, having an absolute zero point.

Categorical Data

Data that can be categorized into groups or categories that are mutually exclusive, without any natural ordering.