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In Which of the Following Ways Can a Corporation Raise

question 405

Multiple Choice

In which of the following ways can a corporation raise new funds for investment? I. Issuing new shares of stock
II) Having existing stock resold between two owners


Definitions:

Segment Margin

The amount of profit or loss generated by a particular segment of a business, helping to assess the financial contribution of different parts of the business.

Gross Cost

The total cost incurred before any deductions or allowances.

Operating Assets

Assets used by a company in its day-to-day operations to generate revenue, excluding investment and non-operational assets.

Return On Investment (ROI)

Net operating income divided by average operating assets. It also equals margin multiplied by turnover.

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