If you own a security in a company, such as common stock in IBM, you have:

Question

Quizplus · Accepted Answer

Owning common stock in a company such as IBM means you have an undivided interest in the company, as each share represents a portion of ownership. Additionally, common stock is a security subject to federal regulation under the Securities Act of 1933 and the Securities Exchange Act of 1934. Therefore, the best choice is D, which states that you have an undivided interest in the company and a security subject to federal regulation. The right to sell the security back to IBM in exchange for other assets is not necessarily guaranteed and may depend on the terms of the company's stock repurchase program.

If You Own a Security in a Company, Such as Common