Chapter 16 Business Management Questions and Answers ( Graded A+)
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Course
Chapter 16 Business Management
Institution
Chapter 16 Business Management
Chapter 16 Business Management
Questions and Answers ( Graded A+)
Capital - ANS- The money required to start or expand a business
Equity Capital (Owner capital) - ANS- Business owners' personal financial contributions to the business
Retained Earnings - ANS- Profits that are not taken out of th...
Chapter 16 Business Management Questions and Answers ( Graded A+) Capital - ANS- The money required to start or expand a business Equity Capital (Owner capital) - ANS- Business owners' personal financial contributions to the business Retained Earnings - ANS- Profits that are not taken out of the business but instead are saved for use by the business Debt Capital (Creditor Capital) - ANS- Money that others loan to a business Common Stock - ANS- Ownership that gives holders the right to participate in managing the business through voting privileges and the right to share in any profits through dividends. Par value - ANS- A dollar value shown on a share of stock, which is an arbitrarily assigned amount that is used for bookkeeping purposes. Market Va lue - ANS- The price at which stock is actually bought and sold Preferred Stock - ANS- Stock that gives holders first claim on corporate dividends if a company earns a profit Book Value - ANS- Share of stock is calculated by dividing the corporation's net worth by the total number of shares outstanding Short -term debt - ANS- A loan that must be repaid with interest within a year
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