4
QuizMultiple Choice

Stocks and Bonds

Question 4 • LVA - Mathematical Modeling - Spring

What does it mean when an investor buys stock in a company?

Answer
A
the investor owns the company
B
the investor is investing in the government
C
the investor owns a share of the company
D
the investor is rich

Explanation

Buying stock means buying a share, or small ownership stake, in a company. The investor does not necessarily own the entire company; they own only the portion represented by their shares. So the correct choice is “the investor owns a share of the company.”

AI-written and checked against the verified answer.

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