Equity in a Firm with No Debt Is Called

question 73

Multiple Choice

Equity in a firm with no debt is called:

• A)levered equity.
• B)unlevered equity.
• C)riskless equity.
• D)risky equity.

---

Definitions:

ASU 2016-14

An update issued by the Financial Accounting Standards Board (FASB) aimed at improving the way not-for-profit organizations present their financial statements.

GAAP

Generally Accepted Accounting Principles, which are a set of accounting standards and procedures used to prepare financial statements in the US.

Statement of Activities

A financial report summarizing a nonprofit organization's revenues, expenses, and changes in net assets for a specific period.