Which of the following companies would be most likely to use the bond market to raise capital?
A. A sole proprietorship grossing $100,000 a year, in which the owner is a full-time consultant and has no employees
B. A small technology firm with high potential but a great deal of risk
C. A partnership of five attorneys that wishes to borrow money to buy a larger office building
D. A large, growing firm trying to expand its business
Answer: D
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In which of the following types of auctions can bidders NOT see each other's bid?
A) English auction B) Dutch auction C) Silent auctions D) Sealed-bid auction
Explain the underlying assumptions of the price leadership model. What conclusions can be made about the price charged and the output produced in an industry that has a dominant price leader?
What will be an ideal response?
Referring to the graph above, a movement from point H to point I might represent ________
A) the increase in the inflation rate that occurs when the real interest rate rises B) the automatic response of monetary policy to an increase in the inflation rate C) an autonomous tightening of monetary policy D) any of the above E) none of the above
Marginal revenue product is:
a. defined as the amount that an additional unit of the variable input adds to the total revenue b. equal to the marginal factor cost of the variable factor times the marginal revenue resulting from the increase in output obtained c. equal to the marginal product of the variable factor times the marginal product resulting from the increase in output obtained d. a and b e. a and c