Which of the following does NOT describe the purpose and practice of selling stocks?

A.
Companies often raise money for operations or particular ventures by selling stocks.

B.
Holders of stocks (stockholders) become part owners of the company.

C.
Stocks are also known as shares, and another name for stockholders is shareholders.

D.
Stockholders are protected from financial loss if the company does poorly.

Question

Which of the following does NOT describe the purpose and practice of selling stocks?
 
 A.
Companies often raise money for operations or particular ventures by selling stocks.
 
 B.
Holders of stocks (stockholders) become part owners of the company.
 
 C.
Stocks are also known as shares, and another name for stockholders is shareholders.
 
 D.
Stockholders are protected from financial loss if the company does poorly.

anonymous · Answer

D