You engage in a short sale when you
A)sell shares of stock you do not own.
B)sell a put.
C)sell options on a stock for future sale.
D)sell stock to cover a margin call.

Question

Quizplus · Accepted Answer

In a short sale, you borrow shares of stock you do not own from a broker and sell them on the open market, hoping to buy them back later at a lower price to return to the broker, thus profiting from the difference.

You Engage in a Short Sale When You