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A(n) ________ stock pays a large dividend and is unlikely to experience major appreciation.

A) blue chip
B) income
C) defensive
D) cyclical
E) growth

Marked as best answer by Ginger

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Explanation: B) Income stocks pay a good and usually steady dividend, but don't have much appreciation. A blue chip stock is from a stable, older company with a good track record that pays dividends. A defensive stock is from a company that makes staples such as food and drugs that are not much affected by downturns or upturns in the economy. A cyclical stock is issued by a company that makes a product like cars or buildings that are strongly affected by upturns and downturns in the economy. A growth stock is expected to generate revenues that increase at a faster rate than the average company.

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Boom! Correct answer