A corporation seeking to expand, and looking for the least risky financing option would choose:
a. stocks
b. bonds
c. retained earnings
d. a bank loan
c
You might also like to view...
Answer the following statement(s) true (T) or false (F)
1. Contestable market conditions will cause a natural monopoly to produce the competitive quantity. 2. In a contestable market with room for many firms, industry output will be the same as in a successful cartel. 3. The Cournot oligopoly model is based on the assumption that firms treat their rivals' output as fixed and given. 4. Firms' total output is higher in the Cournot oligopoly model than in the Bertrand oligopoly model. 5. In both competition and monopolistic competition, free entry and exit guarantee that the industry's output is produced at the least possible cost.
In recent decades Americans have increased their purchase of stocks of foreign-based companies. The Americans who have bought these stocks were engaged in
a. foreign portfolio investment. b. indirect domestic investment. c. foreign direct investment. d. foreign indirect investment.
The more the current price exceeds the equilibrium price, the:
A. smaller the resulting shortage will be. B. smaller the resulting surplus will be. C. greater the resulting surplus will be. D. greater the resulting shortage will be.
If autonomous consumption increases, the size of the multiplier would
A. increase. B. remain constant. C. decrease. D. either increase or decrease depending on the size of the change in autonomous consumption.