Money Contributed to Businesses in Return for Part Ownership of the Business

question 69

Multiple Choice

Money contributed to businesses in return for part ownership of the business is called a(n) _____.

• A) debt
• B) equity capital
• C) gift
• D) loan

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Definitions:

Standard Deviation

A statistical measure that quantifies the variation or dispersion of a set of data values.

Risk-averse

Refers to the preference of an individual or entity to avoid risk rather than facing it, often choosing options with more predictable and less risky outcomes.

Expected Income

The amount of money one anticipates earning over a certain period, factoring in various possible outcomes.

Expected Utility

A theory in economics that calculates the utility of an individual or entity based on the likelihood of different outcomes, combining both the value of outcomes and their probabilities.