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2 March, 05:05

People who buy stock in a corporation such as General Electric become a. creditors of General Electric, so the benefits of holding the stock depend on General Electric's profits. b. creditors of General Electric, but the benefits of holding the stock do not depend on General Electric's profits. c. part owners of General Electric, so the benefits of holding the stock depend on General Electric's profits. d. part owners of General Electric, but the benefits of holding the stock do not depend on General Electric's profits

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  1. 2 March, 05:10
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    c. part owners of General Electric, so the benefits of holding the stock depend on General Electric's

    Explanation:

    Stocks are securities that represent a fraction of the value of companies or corporations. That is, a stock is like a piece of a company. When an institution decides to expand its business, it often needs to seek more money for it. Therefore, many of them become publicly traded companies and offer their stock - also called paper - in the market for resources.

    Because stocks are a piece of the company, we can conclude that people who buy stock from a corporation like General Electric become owners of General Electric, so the benefits of holding the stock depend on the profits of General Electric.
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