Capital appreciation refers to

the increased value of a stock.

the ability to make a profit from owning stock.

the distribution of earnings to shareholders.

the profitable sale of shares.

Capital appreciation is the increased value of a stock. It means that a value of a certain stock has been raised. This is due to the demand of changes in the market capital price condition. Investors in return will get a higher return on their capital investment, but still, maintain the price of their dividend share.

The answer is A - the increased value of an asset