Which One of the Following Statements Is NOT True

question 62

Multiple Choice

Which one of the following statements is NOT true?

• A) For many smaller companies and companies of lower credit standing that have limited access, or no access, to the public markets, the cheapest source of external funding are often private markets.
• B) Bootstrapping and venture capital financing are not part of the private market.
• C) Bootstrapping and venture capital financing are part of the private market.
• D) Many private companies that are owned by entrepreneurs, families, or family foundations and are sizeable companies of high credit quality prefer to sell their securities in the private markets.

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Definitions:

Self-Sufficient

The quality or condition of being able to fulfill all one's needs without reliance on external assistance.

Specialize

To focus on a specific area of production or study to gain efficiency or expertise.

Gains from Trade

The increase in welfare or economic benefit that countries or individuals obtain by engaging in voluntary exchanges where they specialize according to their comparative advantages.

Equilibrium

A state in a market where supply equals demand, leading to a stable situation where there is no tendency for prices to change, assuming other factors remain constant.