A certificate of ownership and claim to part of a firm's profits is called
A) a stock.
B) a bond.
C) a certificate of deposit.
D) depreciation.
E) physical capital.

Question

Quizplus · Accepted Answer

A certificate of ownership and claim to part of a firm's profits is called a stock. Bonds are a form of debt, not ownership, and do not entitle the owner to a claim on the firm's profits. Certificates of deposit are a type of savings account, and depreciation refers to the decline in value of an asset over time. Physical capital refers to the equipment and structures used to produce goods and services, and is not related to ownership in a firm.

A Certificate of Ownership and Claim to Part of a Firm's