Which best describes how an investor makes money from an equity investment?

A. By earning interest
B. By selling the asset for a profit
C. By raising capital
D. By growing the asset



Answer :

Final answer:

Investors make money from equity investments by selling the asset for a profit.


Explanation:

An investor makes money from an equity investment primarily by selling the asset for a profit. When the price of an asset increases, the investor can sell it at a higher price than they paid, resulting in a capital gain. This profit is realized when the investor sells the asset at a price higher than the purchase price, thus making money.


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