Gary Is in the Process of Using Debt Financing to Fund

question 71

Multiple Choice

Gary is in the process of using debt financing to fund his new venture.In this case,he is most likely to:

• A)borrow loans from banks.
• B)obtain funding from venture capitalists.
• C)secure funding from angel investors.
• D)exchange a share of ownership in his company for money.

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Definitions:

Halo Effect

is a cognitive bias where the perception of one positive trait leads to the unjustified favorable evaluation of other unrelated traits.

Overweighing

The tendency to give disproportionately heavy weight to a specific fact or piece of information when making decisions or assessments.

Negative Information

Data or feedback that reflects unfavorably on a person, situation, or entity, often resulting in adverse perceptions or outcomes.

Interviewer

An individual who conducts job interviews, typically asking questions to evaluate an applicant's suitability for a position.