The Cost of Internal Equity Is Cheaper Than the Cost

question 53

Multiple Choice

The cost of internal equity is cheaper than the cost of external equity.Which of the following statements is/are correct?

• A)Only statement I is correct
• B)Only statement II is correct
• C)Both statements I and II are correct
• D)Neither statement I nor II is correct

---

Definitions:

Demand Curves

Graphical representations showing the quantity of a particular good that consumers are willing to buy at different price levels, assuming other factors remain constant.

Total Revenue

The total amount of money a company receives from selling its goods or services, calculated as the quantity sold multiplied by the sale price.

Perfectly Price-inelastic

A situation where the quantity demanded or supplied of a good does not change in response to a price change.

Constant Slope

Implies a uniform rate of change in one variable relative to another, represented graphically as a straight line.