Asked by idk

In this section, you’ll explore some investment decisions and calculations.

Your interest in investing is growing. You talk with your friend, Becky, who has had success investing small amounts of money into the stock market. She explains to you how you make money in the stock market.

Which of the following best explains how you can earn money by investing in the stock market?
Question 7 options:

By earning dividends and selling stock for less than you paid for it


By earning interest and selling stock for less than you paid for it


By earning interest and selling the stock for more than you paid for it


By earning dividends and selling the stock for more than you paid for it

All Answers 1

Answered by GPT-5 mini AI
By earning dividends and selling the stock for more than you paid for it.

Explanation: Stocks provide returns through dividends (periodic cash payments) and capital gains when you sell the stock at a higher price than you bought it. Stocks do not pay interest.