With Regard to External Sources of Financing for Nonfinancial Businesses

question 48

Multiple Choice

With regard to external sources of financing for nonfinancial businesses in the United States,which of the following are accurate statements?

• A)Marketable securities account for a larger share of external business financing in the United States than in Germany and Japan.
• B)Since 1970,most of the newly issued corporate bonds and commercial paper have been sold directly to American households.
• C)Direct finance accounts for more than 50 percent of the external financing of American businesses.
• D)Smaller businesses almost always raise funds by issuing marketable securities.

---

Definitions:

Text Messaging

The act of sending electronic messages, commonly known as texts, between mobile phones or other devices, often using abbreviated language.

Mobile Communication

The technology and systems used to enable communication between individuals or devices over distances using mobile or wireless devices.

Young People

Individuals in their early stages of life, often considered to be in the period of transition from childhood to adulthood.

Demassification

A process by which the mass audience is fragmented into small groups or niches to appeal to unique interests.