Stocks may be issued to generate income you can pick more than one
A. sole proprietorship
B. General partnership
C corporation
D. Limited liability company
C. corporation
In a corporation, stocks can be issued to generate income. A corporation is a legally independent entity that can issue shares or stocks to raise capital. Shareholders own the stocks and receive dividends and/or capital gains when the value of the stocks increases. This allows corporations to generate income by selling shares of ownership in the company.
Correct answer: C. corporation.
Explanation: Stocks can be issued by corporations to generate income. A corporation is a separate legal entity from its owners, which allows it to issue shares of stock to raise capital. By offering shares to the public, the corporation can generate income through the sale of these stocks. Shareholders who purchase these stocks become partial owners in the corporation and may receive dividends as a form of income. It is important to note that while sole proprietorships and general partnerships can also generate income, they do not issue stocks since they are not separate legal entities like corporations.