Obtaining Funds for a Business by Issuing Ownership Shares Through

question 13

Multiple Choice

Obtaining funds for a business by issuing ownership shares through the stock market is called _____ finance.

• A)money
• B)liability
• C)debt
• D)equity

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Definitions:

Finished Goods

Merchandise that has been through the manufacturing phase and is now ready for customer purchase.

Accounts Receivable

Financial obligations customers have towards a business for received goods or services that remain unpaid.

Factory Overhead

Refers to the indirect costs associated with manufacturing, including costs for utilities, rent, and maintenance of equipment not directly tied to the production of goods.

Labor Costs

The total sum of all wages paid to employees, as well as the cost of employee benefits and payroll taxes paid by an employer.