leasing |
renting rather than buying |
intermediate-term financing |
borrowing money from 1-10 years |
line of credit |
maximum amount a company can borrow from a bank during a period of time. |
short-term financing |
borrowing money for less that a year. |
debt financing |
raising funds for a business through borrowing. |
unsecured bank loans |
most short term bank credit for business is in the form of: |
pays a fixed dividend |
quality of preferred stoock |
pay bills until it gets paid |
a business would seek short term financing to: |
long term financing |
when a corperation sells bonds it is enganging in: |
low interest rates |
this wouold favor a company’s plan to finance expantion: |
stock |
shares of a business used to finance business expantion |
profits |
amount earned after you subtract total expances |
cost benefit analysis |
comparing the estimated profit with estiated cost |
financing |
obtaining money or capitalfor business expantion |
revenues |
total amount earned before you subtract total expences. |
cost of expantion |
renting new stores and training new workers are examples of: |
higher profit |
a possible benefit of expantion is: |
interest earned on savings |
reward for people who unintentionally finance business growth by depositing funds in a savings acound or CD: |
where they are needed most |
in a marked economy resources go: |
make a cost benefit analysis |
to determine whether or not to expand a business would: |