Match each term with the correct statement below.
a. short-term financing
b. debt capital
c. long-term financing
d. equity capital
e. retained earnings
f. T-bills
g. certificates of deposit
h. commercial paper
1. Funds that come in exchange for some form of ownership and do not require repayment
2. Earnings of a company that have not been distributed to shareholders
3. Money that is normally repaid within a year
4. Funds that are acquired through borrowing
5. A marketable security that is virtually risk free
6. Short-term notes that are issued by governments and corporations with a good credit history and are normally issued in amounts over $25 thousand
1. D) equity capital
2. E) retained earnings
3. A) short-term financing
4. B) debt capital
5. F) T-bills
6. H) commercial paper
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