Explain how a firm that expects to need funds in the upcoming year might make sure the needed funds are available

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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1. Explain how a firm that expects to need funds in the upcoming year might make sure the needed funds are available.

2. How does the uncertain nature of a firms sales  due to Covid-19 influence its decision regarding the amount of short-term  credit to use in its financing strategy?

3.  What kinds of firms use commercial paper? Could the grocery shop in neighborhood borrow using this kind of credit?

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

5. From the standpoint of an investor, is equity or debt riskier? Explain.

6. Give a report(one paragraph) of any company (either local or international) that using venture capital as a source of financing. 

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