MLM Passive Income

dividends?

Please give me a brief explanation of: 1) What is a stock? 2) What is a share? Is a stock what customers buy?

Public Comments

1. A stock is a certificate that gives you part ownership of a company. A share is one piece of that company. A stock is what a person or institution buys when they want a piece of that company.
2. A stock is basically a company that has been packaged for sale on a particular stock exchange. A share is fractional ownership in such a stock or company. A stock typically is bought by investors rather than customers.
3. Stock and share are same. The idea is, suppose we both are starting a company it required 1000 rupees. We are planning to collect this money from people and the minimum amount once can contribute is 10 rupees. Suppose we collect 1000 rupees from 10 people and 100 each. this mean each person is owner of 10 units. The next year, we got a profit of 1000 and giving that profit to our shareholders. Each person will get 100 each. That mean each of them now have 20 units. that's all... I can send you a good PDF if you want and that will give you all the idea. contact me on investinternals@gmail.com
4. 1. A stock is a share, or piece of a company that you buy and sell on an exchange. 2. A share is the stock. Stock and share are essentially one in the same. 3. Stock is what investors buy. Products and services are what customers buy. 4. Dividends are portions of profits the company makes paid to shareholders (people who have shares of stock) http://www.springboardblog.blogspot.com
5. Yeh, they are the same stock and share but I bet there might be some history about why they have two words to call it. In simple term, say a company when you stop them working and selling everything they have and you can get say 1 million dollars, that's called the book value of the company. Say this company wants to be listed in the stock market, so they decide to sell shares in their companies and with all the proper auditing and everything, they decide they will sell one million shares, so each share worth a dollar. Now, every year, they have to report their financial performance and supposedly they make 2 million dollars profit after tax, and they want to keep one million for expansion of the company and give 1 million to the share holders, since there are 1 million shares, each share will receive one dollar. Now if you are holding 10,000 shares, you would then receive 10,000 dollars. These are called dividents. Yes, investor can buy shares, or stocked in the company through a brokerage firm, and pricing goes up and down depending on the demand and supply of the shares, or rather the expectation of the performance of the company.