Answered

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Which best describes how an investor makes money from an equity investment?

A. by earning interest
B. by selling the asset for a profit
C. by raising capital
D. by growing the asset

Sagot :

GinnyAnsweridn

Final answer:

Investors make money from equity investments by selling the asset for a profit, known as capital gains.


Explanation:

An investor makes money from an equity investment primarily by selling the asset for a profit. This profit comes from capital gains, which are realized when the value of the asset increases from the time of purchase. When the investor sells the asset at a higher price than what was paid, they earn a profit.


Learn more about Equity Investment here:

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