Which of the following is true of equity securities?
A)It refers to the technique of protecting against the potential losses that result from adverse changes in exchange rates.
B)It refers to a loan from the investor to a company or government entity.
C)It refers to the simultaneous and instantaneous purchase and sale of a currency for a profit.
D)It refers to the practice of buying and selling a currency with the expectation that the value will change and result in a profit.
E)It refers to the ownership of a part of a company.

Question

Quizplus · Accepted Answer

Equity securities represent ownership interest held by shareholders in an entity (a company, partnership, or trust), realized in the form of shares of capital stock, which includes shares of both common and preferred stock.

Which of the Following Is True of Equity Securities