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Figure 21-5
-Refer to Figure 21-5.What occurs at point C
Payments For Capital
Funds disbursed to acquire or maintain fixed assets, like equipment or buildings, or to compensate the providers of financial capital.
Interest
The charge for borrowing money, typically expressed as an annual percentage of the principal.
Credit
The trust which allows one party to provide resources to another party wherein the second party does not reimburse the first party immediately but promises to do so in the future.
Bonds
Fixed income investments representing a loan made by an investor to a borrower, typically corporate or governmental.
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