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Which of the Following Statements Is True Regarding Equity Securities

Question 35

Multiple Choice

Which of the following statements is true regarding equity securities?


A) Equity securities represent loans to companies which companies promise to repay with interest.
B) A share is an example of equity securities.
C) Equity securities are represented by bank notes.
D) Equity securities do not fall into the category of negotiable instruments as they represent ownership in companies.

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