Large Firms Find External Funds to Be More Costly Than

question 48

Multiple Choice

Large firms find external funds to be more costly than internal funds because

• A)they must pay taxes on external funds but not on internal funds.
• B)external funds must be raised in financial markets, whereas internal funds may be raised from banks.
• C)legally a portion of external funds must be distributed to shareholders, whereas all internal funds may be used for investment projects.
• D)outside investors require a higher return to compensate them for having to obtain information about the firms.

Recognize the importance of nature and nurture in human development.

Grasp the concept of stages and patterns of development across the lifespan.

Distinguish between continuous and discontinuous views of development.

Acknowledge the impact of early experiences on lifelong development, including the concept of sensitive periods.

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Definitions:

Grant Money

Financial funds provided by a government, organization, or individual for a specific purpose, which do not require repayment.

Serendipitous

Characterized by the occurrence of discoveries or events in a happy or beneficial way by accident or chance.

Research Finding

The outcome or results derived from systematic investigation or study in a specific area of knowledge or inquiry.

Hypothesis

A proposed explanation for a phenomenon, made as a starting point for further investigation.