Explain how a firm that expects to need funds during the coming year might make sure the needed funds will be available.

College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter15: Financial Statements And Year-end Accounting For A Merchandising Business
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Q1: Explain how a firm that expects to need funds during the coming year might make sure the needed funds will be available. 

Q2: How does the uncertain nature of a firm’s sales due to COVID-19 influence its decision regarding the amount of short-term credit to use in its financing strategy? Q3: What kinds of firms use commercial paper? Could the grocery shop in your neighbourhood borrow using this form of credit?

Q4: From the standpoint of a borrower, is long-term or short-term credit riskier? Explain. 

Q5: From the standpoint of an Investor, is equity or debt riskier? Explain. 

Q6: Give a report (one paragraph) of any company (either local or international) that used venture capital as a source of financing. *

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