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What Is an Advantage of Purchasing Common Stock

Question 30

Multiple Choice

What is an advantage of purchasing common stock?


A) Stocks with high interest rates are desirable for individuals living on a fixed income.
B) Common stock pays out interest at regular intervals.
C) Common stock has first claim on dividends ahead of preferred stock.
D) Common stock offers high growth potential for investors.
E) Common stock is less risky than bonds.

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