Question

which of the following statements is not true regarding the different ways that we can categorize stocks? question options only 1 option is correct: income stocks are stocks that will not likely result in rapid price appreciation but pay higher dividends as quarterly income value stocks are stocks that might be temporarily undervalued on the market, but that the prices are predicted to bounce back growth stocks are stocks that guarantee rapid price appreciation, in addition to paying dividends value stocks are often the result of company scandals and/or product recalls

Answer 1

The statement that value stocks are often the result of company scandals and/or product recalls is not true.

Step-by-step explanation:

Value stocks are often the result of company scandals and/or product recalls. This statement is not true regarding the different ways that we can categorize stocks. Value stocks are actually stocks that are temporarily undervalued on the market but are predicted to bounce back. They are not typically associated with company scandals or product recalls. Income stocks, on the other hand, are stocks that may not result in rapid price appreciation but pay higher dividends as quarterly income. Growth stocks guarantee rapid price appreciation, in addition to paying dividends.