Which of the Following Is Not a Primary Source of Financing

question 62

Multiple Choice

Which of the following is not a primary source of financing for entrepreneurial start-ups?

• A) investments by family and friends
• B) public equity
• C) private investors
• D) personal savings

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Definitions:

Covariance

A measure indicating the direction of the linear relationship between two variables, whether they tend to move together or in opposite directions.

Two Assets

Refers to any two types of financial instruments or resources owned by individuals or businesses, such as stocks, bonds, or real estate properties.

Overall Risk

The total exposure to loss or potential for unfavorable outcomes in an investment or decision, encompassing various types of risk factors.

Terminal Value

The value of an investment, business, or asset at the end of a specified forecast period, considering its expected future cash flows.