In the late 1920s, which of the following methods allowed investors to purchase stock at a fraction of its price and borrow the rest from the brokerage firm?

a. buying on debt

b. buying on futures

c. buying on a bear market

d. buying on margin

Question

Business

Areli Navarro

1 February, 11:03

In the late 1920s, which of the following methods allowed investors to purchase stock at a fraction of its price and borrow the rest from the brokerage firm?

a. buying on debt

b. buying on futures

c. buying on a bear market

d. buying on margin

+2

Answers (1)

Know the Answer?

Gunnar Berger · Answer 1

The answer is D. Buying on Margin

Buying on margin stock is a purchase of stocks by paying the stock margin and borrowing the balance from a Bank or broker. Before buying on margin, the investors back then need to open a margin account from the broker

In the late 1920s, which of the following methods allowed investors to purchase stock at a fraction of its price and borrow the rest from the brokerage firm?a. buying on debtb. buying on futuresc. buying on a bear marketd. buying on margin

In the late 1920s, which of the following methods allowed investors to purchase stock at a fraction of its price and borrow the rest from the brokerage firm?

a. buying on debt

b. buying on futures

c. buying on a bear market

d. buying on margin