Equity financing differs from security financing in that, with equity financing, a company:
a. must pay at least 1.5% interest on all investments
b. must pay back at least half a shareholder's investment
c. has complete liability to repay shareholders the amount they have invested d. must repay all investments, but has no specific time limit for doing so
e. none of the other choices are correct
e
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What is the term used to describe expenses that are incurred for the benefit of a specific department?
A) Indirect expenses B) Margin expenses C) Departmental expenses D) Direct expenses
How is the net working capital calculated??
A. ?Net working capital = total liabilities minus retained earnings B. ?Net working capital = total assets minus current assets C. ?Net working capital = total liabilities minus current liabilities D. ?Net working capital = current assets minus current liabilities E. ?Net working capital = total equity minus retained earnings
The more reliance a firm has on intellectual capital, the closer its book value will be to its market value.
Answer the following statement true (T) or false (F)
Answer the following statement(s) true (T) or false (F)
1. An ultimate gift is the largest gift of the donor’s lifetime, timing based on the donor’s circumstances. 2. The most common solicitation method used in the annual-giving program is a written proposal. 3. The principle of proportionate giving means that donors usually increase their gifts over time. 4. The term “speculative fundraising” means that the organization raises funds without a plan. 5. The term “sequential fundraising” means that larger gifts should be solicited first.