Which of the Following Is Not a Principal Means by Which

question 155

Multiple Choice

Which of the following is not a principal means by which corporations obtain money for investment?

• A)Selling stocks
• B)Selling bonds
• C)Retaining earnings
• D)Receiving dividends

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Definitions:

Treasury Bonds

Treasury Bonds are long-term government debt securities issued by the U.S. Treasury, with maturity periods typically ranging from 20 to 30 years.

Futures Contracts

Agreements, enforceable by law, to acquire or dispose of certain commodities or financial assets at a price agreed upon now, to be transacted at a later date.

Hedge Cost Risk

Hedge cost risk refers to the potential variability in the expense of hedging strategies, which are used to mitigate financial risks associated with currency, interest rates, or commodities.

Bushels

A unit of volume that is used primarily in the United States to measure quantities of agricultural commodities and dry goods.