Long-Term Investments Are Held for All of the Listed Reasons

question 104

Multiple Choice

Long-term investments are held for all of the listed reasons below except

• A) to earn the interest or dividend income
• B) for their long-term gain potential
• C) to have influence over another business entity
• D) to meet current cash needs

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Definitions:

Joining

The act of becoming a member or part of a group, organization, or legal proceeding.

Accident

An unforeseen and unplanned event or circumstance, often resulting in damage or injury.

Tender Offer

A corporate finance term referring to an open offer to purchase some or all of shareholders' shares in a corporation at a specific price for a specified time.

Negative Information

Unfavorable data or facts, particularly about a person's credit history or financial status, that can affect their ability to secure loans or credit.