Is a Source of Long-Term Equity Financing

question 120

Multiple Choice

is a source of long-term equity financing.

• A)Venture capital
• B)Commercial paper
• C)A bank loan
• D)Selling bonds

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Definitions:

Break-even Point

The break-even point is the level of production or sales at which total revenues equal total costs, resulting in no profit or loss.

Break-even

The point at which total revenues and total expenses are equal, resulting in no net loss or gain.

Monthly Dollar Sales

The total sales revenue earned by a business within a month, measured in dollars.

Variable Expenses

Costs that change in proportion to the activity of a business, such as sales or production levels.