Which of the Following Statements Concerning External Sources of Financing

question 16

Multiple Choice

Which of the following statements concerning external sources of financing for nonfinancial businesses in the United States are TRUE?

• A)Issuing marketable securities is the primary way that they finance their activities.
• B)Bonds are the least important source of external funds to finance their activities.
• C)Stocks are a relatively unimportant source of finance for their activities.
• D)Selling bonds directly to the American household is a major source of funding for American businesses.

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Definitions:

Fear Arousal

A psychological concept referring to the use of threatening or fear-inducing messages to influence attitudes, beliefs, or behaviors.

Two-sided Message

A communication strategy that presents both the positive and negative aspects of a subject, often used in persuasion to enhance credibility.

Trustworthy

Deserving of trust or confidence, reliable and honest.

Christian Singles

Individuals who identify with the Christian faith and are unmarried, often referring to a specific community or group.