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In Business / College | 2025-07-08

Select the best answer for the question.

Buying
A. with cash
B. on margin
C. stock
D. on recession
describes the purchase of financial products with borrowed money.

Asked by alina467

Answer (2)

Buying on margin refers to purchasing financial products with borrowed money. This method allows investors to leverage their investment but also increases the risk of loss. Thus, option B is the correct answer regarding the purchase of financial products with borrowed funds. ;

Answered by GinnyAnswer | 2025-07-08

The correct answer is B. on margin, which refers to purchasing financial products with borrowed money. This strategy allows investors to buy more securities than they could otherwise afford but also involves increased risk of loss. Proper understanding and caution are essential when using this method.
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Answered by Anonymous | 2025-07-10

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