Question

____ is the use of common stock and/or retained earnings to raise long term funding

a) Equity financing
b) leverage
c) debt financing
d) indenture

Answer 1

Whole test

1. identify the risk and potential losses

2. Liability

3. insurance covering losses resulting from medical and hospital expenses as well as income lost form injury or disease.

4. Commercial paper

5. Equity financing

6. Bonds

7. Cash-flow management, financial control, and financial planning

8. Debt financing

9. insurance

10. Risk- return relationship

Answer 2

The answer is A) Equity financing.

Equity financing is when you raise money by selling pieces of ownership or the right ti future profits of the company. On the balance sheet, the left side is assets (the property the company has), and on the left side is equity and debt. You can either sell equity or debt to raise funds.