In the late 2000s, which source of funds for corporations grew the most?
A) net new stock issues
B) net new bond issues
C) net new loans
D) net new commercial paper
B
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Which of the following statements is false?
A. Greater distance reduces the likelihood of migration B. Greater stocks of human capital result in greater personal productivity and earnings C. The majority of international migrants move to countries relatively close to their home countries D. Implicit costs of migrating are not affected by distance
If both producers and consumers believe that a product's price will rise in the future, then at the present, demand ________ and supply ________
A) decreases; decreases B) decreases; increases C) does not change; does not change D) increases; decreases E) increases; increases
Incumbents are unaffected by fixed costs of entry while potential entrants are affected by them because
A) for potential entrants the cost is avoidable, while for the incumbent, it is not. B) fixed costs will be greater for the potential entrant than for the incumbent. C) fixed costs are zero for the incumbent. D) incumbents will act to prevent entry at all costs.
If most firms in an industry are earning a 7 percent rate of return on their assets, but your business is earning 9 percent, your rate of economic profit is
a. minus 2 percent. b. 2 percent. c. 9 percent. d. 16 percent.