568 views
3 votes
Select the correct answer.

Justin made a stock purchase to help increase his college fund. What might Justin expect from his investment?


A.

no loss of his original investment

B.

small interest rate payments

C.

potential for high growth and dividend payments

D.

a maturity date of five years

User Zhekaus
by
5.6k points

2 Answers

4 votes

Answer:

Potential for high growh and dividend payments

Step-by-step explanation:

User Baekacaek
by
6.1k points
0 votes

Answer:

The correct answer is C) Potential for high growh and dividend payments

Step-by-step explanation:

When you purchase a stock of a company, you do it because you expect the company to grow and have good financial results. If the company has a good financial statement at the end of the year, it will pay you a dividend, which is the proportion of the company's profits in relation to the number of shares that you possess.

For example, if company ABC earned a $1,000,000 profit in 2019, and you own 1% of shares, the dividend that you would recieve is : $1,000,000 x 1% = $10,000

User Maximilian Mayerl
by
5.1k points