The Financing Option That Creates No Liabilities or Interest Expense

question 174

Multiple Choice

The financing option that creates no liabilities or interest expense is financing by:

• A)issuing notes payable.
• B)debt.
• C)issuing stock.
• D)issuing bonds payable.

---

Definitions:

Economic Losses

The reduction in economic value due to factors such as poor investment decisions, natural disasters, or inadequate demand for goods and services.

Economic Gains

Increases in wealth or resources, often measured in terms of profit or improved well-being resulting from economic activities.

Earmark

Funds that are set aside by a legislative body for specific purposes.

Public Art Museum

A museum dedicated to preserving and exhibiting artworks for the public, often funded and operated by governmental or nonprofit entities.