The Primary Sources of Funds Available to a Business Include

question 105

Multiple Choice

The primary sources of funds available to a business include all of the following except

• A) debt capital.
• B) sales of assets.
• C) government grants.
• D) sales revenue.
• E) equity capital.

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Definitions:

Resource Price

Resource price is the cost associated with acquiring the inputs needed for production, including labor, raw materials, and capital.

Derived Demand

The demand for a factor of production or intermediate good that occurs as a result of demand for the final good or service.

Labor

The use of human physical and intellectual labor in the creation of products and services.

Capital

Refers to financial assets or the financial value of assets, such as cash and goods, used in a business to generate wealth through investment or production.