A Company Can Pay for Its Expansion in All the Following

question 77

Multiple Choice

A company can pay for its expansion in all the following ways except:

• A) by using the earnings generated from its sale of obsolete equipment.
• B) by persuading the director's mother to make a personal loan to the company.
• C) by purchasing bonds in the secondary market.
• D) by selling stock certificates for a new subsidiary.

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Definitions:

Natural Chemicals

Substances produced by living organisms found in nature that are not man-made or synthesized.

Synthetic Materials

Manufactured substances made from chemical synthesis, rather than those made from natural resources.

Hormesis

A biological phenomenon where a low dose of a harmful substance has a beneficial effect, while a high dose is toxic.

Endocrine System

A network of glands that produce and release hormones to regulate various bodily functions.