Which Form of Financing Do Firms Prefer to Use First

question 89

Multiple Choice

Which form of financing do firms prefer to use first according to the pecking-order theory?

• A)regular debt
• B)convertible debt
• C)common stock
• D)preferred stock
• E)internal funds

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Definitions:

Production Facilities

Physical locations such as factories or workshops where goods are manufactured or assembled, equipped with necessary machinery and tools.

Master Sales Representative

A highly skilled and experienced salesperson recognized for achieving excellent sales results and providing outstanding customer service.

Sales Success

The achievement of sales goals or objectives, often measured by the volume of sales, revenue generated, or market share gained.

Knowledge of Selling

Understanding the strategies, principles, and practices involved in persuading someone to buy products or services.