A Firm's External Financing Need Is Met By

question 54

Multiple Choice

A firm's external financing need is met by:

• A) retained earnings.
• B) net working capital and retained earnings.
• C) net income and retained earnings.
• D) debt or equity.
• E) owners' equity, including retained earnings.

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Definitions:

Antitrust Laws

Legislation intended to promote competition and prevent monopolies by regulating corporate behaviors and mergers.

Purpose

The reason for which something is done or created or for which something exists.

Oligopoly

A market structure characterized by a small number of large firms dominating the industry, leading to limited competition.

Socially Efficient Quantity

The level of production of a good or service that results in the most beneficial mix of output for society, taking into account all costs and benefits.