Trading on the Equity Is Likely to Be a Good

question 31

Multiple Choice

Trading on the equity is likely to be a good financial strategy for stockholders of companies having:

• A) Cyclically high and low amounts of reported earnings.
• B) Steadily declining amounts of reported earnings.
• C) Volatile fluctuations in reported earnings over short periods of time.
• D) Steady amounts of reported earnings.

---

Definitions:

Digital Deal

An agreement or transaction that takes place through electronic means, often involving the exchange of digital goods or services.

Groupon

A website that offers users discounted gift certificates usable at local or national companies, focusing on group buying power to obtain deals.

Web App

A web application or web app is a client-server software application in which the client runs in a web browser.

Copyright Laws

Legal regulations that protect the rights of creators over their original works, preventing unauthorized copying, distribution, or modification.