
To state: The type of financing

Answer to Problem 13AA
Issuing stocks is a form of equity financing.
Explanation of Solution
Issuing stocks is a form of equity financing. Equity financing refers to the process of raising funds from the general public by allotting them the shares/ stocks of the company. In other words, it is a method to increase the capital of the firm by selling the company's stock to the investors. The shareholders get the ownership of the firm in
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