______ Is a Short-Term Loan That Can Be Turned into Equity

question 36

Multiple Choice

______ is a short-term loan that can be turned into equity when future financing is issued.

• A)Convertible debt
• B)Angel funding
• C)Business load
• D)Equity loan

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Definitions:

Mental Accounting

The tendency of individuals to segregate their money into separate accounts based on subjective criteria, affecting their spending and investment decisions.

Overpriced Warranty

A warranty agreement that is considered excessively costly relative to the coverage or protection it offers.

High-Interest Credit Card Debt

A debt incurred through credit card spending that carries a high rate of interest, often leading to significant financial strain.

Stock Market

A public market for buying and selling company stock and derivatives at an agreed price; it's a key indicator of economic health.