What is the primary disadvantage for a firm that obtains financial capital through a bank loan?
a. Having to make scheduled interest payments
b. Losing control of its operations to bank stockholders
c. Being monitored by the Securities and Exchange Commission
d. Selling off ownership of the company until the loan is repaid
a. Having to make scheduled interest payments
You might also like to view...
In 2008, the wealth of U.S. households fell by ________
A) $11 million B) $11 billion C) $11 trillion D) $11 gajillion
The long-run Phillips curve suggests that changing the rate of unemployment in the economy has no impact on the inflation rate
a. True b. False Indicate whether the statement is true or false
Jason works in finance at an MNE. Part of his job is to invest large sums of money in various markets. His latest transaction was investing $10,000 in British pounds for 120 days, then taking the British pounds and investing them in euros for 90 days, and then converting it all back to U.S. dollars. Jason is most likely participating in ________.
A) interest arbitrage B) speculation C) cryptocurrency D) options
Economists argue that individuals should continue to consume until total benefit equals total cost.
Answer the following statement true (T) or false (F)