--%>

Elucidate the ways to finance corporate activity

Elucidate the ways to finance corporate activity?

E

Expert

Verified

There are three ways to finance corporate activity:

1. Internally out of undistributed profits,

2. Borrowing from financial institutions, and

3. Issuing stocks and/or bonds.

   Related Questions in Business Economics

  • Q : Roundabout production Describe the

    Describe the merits of “roundabout” production?  Describe the term “division of labor”?

  • Q : Super committee failure Question: Some

    Question: Some commentators have argued that the failure of the "Super committee" is good thing for the economy?  Do you agree? Answer: The Super committe

  • Q : What is the opportunity cost of

    What is the opportunity cost of attending college?  In 2000, nearly 80% of college-educated Americans held jobs, whereas only about 40% of those who did not finish high school held jobs.  How might this difference relate to opportunity costs?

  • Q : Illustrate the Risks involved with bonds

    Illustrate the Risks involved with bonds?

  • Q : Illustrate the 4th role is the

    Illustrate the 4th role is the reallocation of resources?

  • Q : State of good or service at last unit

    Which of the given describes a situation in which each good or service is produced up to the point where the last unit gives a marginal benefit to consumers equivalent to the marginal cost of producing this? w) productive efficiency.

  • Q : Marginal rate of substitution Problem:

    Problem: Luke likes to consumer CDs (good1) and pizzas (good 2). His preference over both goods is given by the utility function U(x1; x2) = x21

  • Q : Loathed monopolization and viewed of

    Adam Smith and most of the typical economists who followed instantly in his footsteps: (i) viewed monopoly as no big problem. (ii) encouraged monopolies due to their research and development abilities. (iii) thought monopoly power was a communist plot

  • Q : Speculators decreases price volatility

    Speculators decrease price volatility through, in effect, changing demand curves: (w) out at low prices, and shifting supply curves out at high prices. (x) out at low prices, and shifting supply curves within at low p

  • Q : Illustrate how Microeconomics looks at

    Illustrate how Microeconomics looks at specific economic units?