In finance, what does a ‘stock’ fundamentally represent?
📚 Source:
Economics & Finance Review✓ Fact-CheckedCreated by: The Quiz Wire Editorial Team
💡 Explanation:
A stock (or equity) represents a fractional ownership in the corporation that issued it. Stockholders are owners who have a claim on the company's assets and earnings, and typically have voting rights. Bonds, not stocks, represent a loan with fixed-interest.