Vidyalelo
Management · Q196

International Finance and Treasury

Graduate and Post Graduate · Management · question 196

Q196

Corporate equities or corporate stocks represent portion in instruments of capital markets which is

A.
largest
Answer
B.
smallest
C.
never paid
D.
none of above

Answer: Option A

Solution

Answer: Option A
Solution:
Corporate equities or corporate stocks represent portion in instruments of capital markets which is largest. Stocks and equity are same, as both represent the ownership in an entity (company) and are traded on the stock exchanges. Equity by definition means ownership of assets after the debt is paid off. Stock generally refers to traded equity. Stock is the type of equity that represents equity investment.