Equity Capital Sources and Definitions

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10 Questions

Which source of capital involves using undeclared profits rolled-over from a company's past operations?

Equity Capital

What is a common source of short-term capital according to the text?

Merchant Creditors

Which type of capital could involve using promissory notes as collaterals or converting post-dated checks into additional equity capital?

Equity Capital

What type of capital may have maturities of less than one year, from one year to five years, or more than five years?

Creditor/s' Capital

Which type of capital may involve borrowing from banks and purchasing items 'on account' with a credit period of 30, 60, or 90 days?

Creditor/s' Capital

Which type of capital source usually offers loans not exceeding the cash value of your policies?

Insurance Companies

Which entity acts as intermediary agents between government agencies and individual borrowers?

Private Voluntary Organizations (PVOs)

Which type of organization usually provides financing through secured loans to individuals rejected by banks?

Pawnshops

Which source of capital is known for offering capital to small businessmen using personal properties as collaterals?

Pawnshops

Which type of organization usually offers loans for capitalization requirements exclusively to their members?

Credit Cooperatives

Learn about the different sources of equity capital such as retained earnings, advanced payments from customers, and sale of stocks. Understand how these sources can be utilized to bring in or increase the capital for your business operations.

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