If you believe that a firm will grow rapidly in the future,you should buy its

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Common stock is the best choice if you believe that a firm will grow rapidly in the future. This is because common stock represents ownership in the company and the value of the stock will increase if the company's earnings also increase as a result of growth. Bonds and debentures are debt securities and provide a fixed rate of return, making them a better choice for investors seeking stability rather than growth. Preferred stock, while providing some ownership rights, offers a fixed dividend payment and limited potential for capital appreciation, making it less attractive for investors seeking growth.

If You Believe That a Firm Will Grow Rapidly in the Future,you