Companies with Capital of Over $2 Billion

D

The correct answer is D. Large cap companies.

A company's market capitalization, or "market cap," is calculated by multiplying the total number of shares outstanding by the current market price of a single share. Market cap is an important measure used by investors and analysts to categorize companies into different groups based on their size and overall value.

The four most commonly used categories based on market cap are:

1. Small cap: companies with a market cap between $300 million and $2 billion.
2. Mid cap: companies with a market cap between $2 billion and $10 billion.
3. Large cap: companies with a market cap of more than $10 billion.
4. Mega cap: companies with a market cap of more than $200 billion.

Therefore, companies that have a market cap of more than $2 billion would fall into the large cap category, making option D the correct answer. Large cap companies are generally considered to be more stable and mature than smaller companies, as they have a greater level of resources and infrastructure. These companies may also have a more established track record of earnings and dividend payments, making them a popular choice for investors looking for long-term growth and income.