When Carlton Company Inc

question 25

Multiple Choice

When Carlton Company Inc. exported elevator component parts to a company in Taiwan, it allowed the company 90 days to pay for the parts. This is an example of a(n)

• A) sight draft.
• B) time draft.
• C) bill of lading.
• D) counterpurchase.
• E) offset.

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Definitions:

Angel Investors

Affluent individuals who provide capital for a business start-up, usually in exchange for convertible debt or ownership equity.

Crowdfunding

Gathering small sums of money from many people to finance a project or endeavor, commonly done online.

Bootstrapping

A method where entrepreneurs start their company with minimal capital, relying on personal finances and revenue from the business rather than seeking external investment.

Formal Fundraising

involves organized efforts to gather financial contributions from individuals, organizations, or governments, typically for nonprofit organizations or specific causes.