Complete the Following Using the Terms Listed

question 96

Multiple Choice

Complete the following using the terms listed.
-_____ consists of funds provided by a company's owners when they reinvest earnings,make additional contributions,liquidate assets,issue stock,or raise capital.

• A)Venture capitalists
• B)private placements
• C)factoring
• D)capital investment analysis
• E)debt capital
• F)equity capital
• G)financial plan
• H)leveraged buyout
• I)private equity funds
• J)divestiture
• K)Marketable securities
• L)financial manager
• M)tender offer
• N)Trade credit
• O)leverage
• P)capital structure
• Q)Asset intensity
• R)bonds
• S)spin-off
• T)Hedge funds
• U)Inventory control
• V)dividends
• W)debt-to-equity (D/E)
• X)compensating balances
• Y)shareholder's equity

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Definitions:

Long-run Equilibrium

A state in economics where all factors of production are fully adjusted to the market condition and all economic agents have no incentive to change their behavior.

Consumer Demand

The desire and willingness of consumers to purchase a certain quantity of goods or services at various price points, at a particular time.

Competitive Increasing-cost Industry

An industry where supply costs increase as output expands, often because resources become scarcer or harder to obtain as production grows.

Long-run Equilibrium

A state in which all firms in a perfectly competitive market earn zero economic profits, with no incentives for new firms to enter or existing firms to exit.