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I need help with this-example-1

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Answer:

B. Someone new contributes money to the company, becoming an owner.

Step-by-step explanation:

Common stocks or shares represent a portion of the company. Ownership of a share means owning a part of the company. Shares are also known as equity.

A company issues common stocks when it wants to raise additional capital. Anyone buying shares is contributing capital to the business. They become owners of the business or shareholders as popularly known. They are issued with share certificates and are entitled to dividends.

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