which best describes how an investor makes money from an equity investment?\nby earning interest\nby selling…
which best describes how an investor makes money from an equity investment?\nby earning interest\nby selling the asset for a profit\nby raising capital\nby growing the asset
Answer
Brief Explanations:
Equity investment involves buying shares in a company. An investor makes money when they sell those shares at a price higher than the purchase - price, which is selling the asset for a profit. Earning interest is more common in debt - based investments. Raising capital is what a company does, not how an investor makes money from an equity investment. Growing the asset is a long - term goal, but the actual money is made when the asset is sold at a profit.
Answer:
by selling the asset for a profit