The types of corporate stock that are traded in exchange markets are ___________?
Correct answer: D. both A and B
- A. common stock
- B. preferred stock
- C. quoted stock
- D. both A and B
Explanation
Both common and preferred shares may be listed and traded on exchange markets, subject to the exchange’s listing requirements. “Quoted stock” describes a quoted market status rather than a separate basic type of corporate stock.
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About Business Finance
Business finance explains how organisations plan, obtain and use money while balancing risk, return and liquidity. Topics include financial statements, time value of money, budgeting, working capital, capital structure, sources of finance, investment appraisal and cost of capital. Capital budgeting evaluates long-term projects, whereas working capital manages day-to-day operations.
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