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A Firm Finds It Difficult to Get Started and Establish

question 77

Multiple Choice

A firm finds it difficult to get started and establish itself in the car manufacturing industry because of high capital requirements,such as large amounts of money,manufacturing equipment,land,and a major marketing campaign.This exemplifies ________.


Definitions:

Acceptor

A drawee of a draft who has promised to honor the draft as presented by signing it on its face.

Draft

A written order by which the party creating it orders another party to pay money to a third party. Also called bill of exchange.

Instrument

A formal legal document that serves as evidence of a fact, act, or obligation, such as a deed, will, or contract.

Insane

A term describing severe mental illness or insanity, legally signifying inability to understand or control one's actions.

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