Although the Risks Associated with Starting a New Entrepreneurial Venture

question 53

True/False

Although the risks associated with starting a new entrepreneurial venture are large, there is always room for one more success.

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Definitions:

Tax Deferred

A status of investment earnings, such as interest or dividends, that are not subject to tax until they are withdrawn or realized at a future date.

Equity Capital

The funds raised by a company through the sale of common or preferred shares, representing ownership interests in the company.

Floatation Costs

The expenses incurred by a company in issuing new securities, including underwriting, legal, and registration fees.

Record Date

The specific date set by a company to determine the shareholders who are eligible to receive dividends or participate in corporate actions.