_____ Are Investment Certificates That Represent Either Ownership of a Corporation

question 83

Multiple Choice

_____ are investment certificates that represent either ownership of a corporation or a loan to the corporation.

• A)Capital funds
• B)Securities
• C)Deposits
• D)Contracts
• E)Liquid assets

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Definitions:

Target Capital Structure

Target capital structure is the proportional combination of debt, equity, and other financing sources a company aims to maintain.

Discounted Cash Flow

A valuation method used to estimate the value of an investment based on its expected future cash flows.

Cost of Equity

The return that investors expect for investing in a company's equity, reflecting the risk compared to the risk-free rate of return.

Beta

Beta is a measure of the volatility, or systematic risk, of a security or a portfolio compared to the market as a whole.