Which of the Following Is NOT Considered a Permanent Source

question 57

Multiple Choice

Which of the following is NOT considered a permanent source of financing?

• A)Corporate bonds
• B)Ordinary shares
• C)Preference shares
• D)Commercial paper

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Definitions:

Equilibrium

Describes a state in a market where the quantity of a product supplied is equal to the quantity of the product demanded, leading to a stable price.

Gains from Trade

The benefits that parties obtain by engaging in voluntary trade, allowing them to acquire goods and services they desire at less cost compared to self-production.

Total Surplus

The combined measure of consumer surplus and producer surplus in a market, representing the total benefits to society from the production and consumption of goods and services.

Equilibrium

A state where market supply and demand balance each other, and as a result, prices become stable.