Asked by Sabrina Mitchell on May 09, 2024
Verified
The sale of either stocks or bonds to raise money is known as equity finance.
Equity Finance
A method of raising capital through the sale of shares in a company, representing ownership interests in the corporation.
- Comprehend the methods by which corporations fund their activities and the consequences of selling shares again.
- Differentiate between corporate financing via bonds and equity.
Verified Answer
NM
ngcebo masilelaMay 13, 2024
Final Answer :
False
Explanation :
Equity finance specifically refers to the sale of stocks to raise money, whereas the sale of bonds is considered debt financing.
Learning Objectives
- Comprehend the methods by which corporations fund their activities and the consequences of selling shares again.
- Differentiate between corporate financing via bonds and equity.
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