The Basic Factors That Determine How a Firm Is Financed

question 34

True/False

The basic factors that determine how a firm is financed are restricted to the firm's past economic performance,the nature of its assets,and the personal preferences of owner(s)with respect to the marketing mix.

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Definitions:

Resulting Trust

A trust that is implied by law to effectuate the presumed intention of the parties involved, often arising when a property transfer does not fit the characteristics of an express trust.

Settlor's Intent

The purpose or intention expressed by a settlor when creating a trust, directing how the trust assets should be managed and distributed.

Unjust Enrichment

A legal principle where one person benefits at another's expense without legal justification, prompting a remedy to correct the imbalance.

Mortgaged Property

Real estate or property whose ownership is conditional upon the repayment of a loan secured by the property itself.