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How do individuals invest in corporations by purchasing stocks?
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26 votes
26 votes
How do individuals invest in corporations by purchasing stocks?

User GeralexGR
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2 Answers

22 votes
22 votes

Answer:

By purchasing stocks, an individual gains an ownership share in the corporation.

A corporation may choose to sell its stock to raise funds for its operations

Step-by-step explanation:

When an individual purchases stock, that increases the market capitalization of the corporation, giving the corporation more opportunities for investment.

User Mzf
by
3.0k points
20 votes
20 votes

Step-by-step explanation:

After a company goes public through an initial public offering (IPO), its stock becomes available for investors to buy and sell on an exchange. Typically, investors will use a brokerage account to purchase stock on the exchange, which will list the purchasing price (the bid) or the selling price (the offer).

User Challet
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3.1k points
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