The Greatest Part of a Firm's Financing Is Provided by

question 184

Multiple Choice

The greatest part of a firm's financing is provided by

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

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Definitions:

Collection Float

The time period between when a payment is made by a customer and when the funds are actually available in the company’s bank account.

Book Balances

The amounts shown in a company's financial records, before any adjustments for checks or debits that have not yet been processed by the bank.

Available Balances

The total amount of funds in an account that are accessible for use or withdrawal at any given moment.

Disbursement Float

The time gap between the writing of a check and the reduction of the payer's bank account balance.