Always beneficial
May be beneficial
Never beneficial
None of the above
Answer is Wrong!
Answer is Right!
The correct answer is: B. May be beneficial.
Trading on equity is the practice of using borrowed money to purchase assets. This can be a risky practice, as it can lead to large losses if the assets decline in value. However, it can also be a profitable practice, as it allows investors to leverage their capital and earn a higher return on their investment.
Whether or not trading on equity is beneficial depends on a number of factors, including the investor’s risk tolerance, the potential return on the investment, and the interest rate on the loan. In general, trading on
41.5 48.3 47.8C117.2 448 288 448 288 448s170.8 0 213.4-11.5c23.5-6.3 42-24.2 48.3-47.8 11.4-42.9 11.4-132.3 11.4-132.3s0-89.4-11.4-132.3zm-317.5 213.5V175.2l142.7 81.2-142.7 81.2z"/> Subscribe on YouTube