When given a choice, businesses prefer to obtain long-term financing through retained earnings or by borrowing from a lending institution such as a bank instead of issuing stock.
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Q2: Examples of institutional investors are pension funds,
Q3: The secondary market is where investors (both
Q4: Securities markets help companies raise long-term debt
Q5: In a secondary market sale of stock,
Q6: Many observers suggest that the stock market
Q7: Issuing stock is considered equity financing.
Q8: It is easier for a small business
Q9: The proceeds from a secondary market sale
Q10: Only government employees represent institutional investors.
Q11: Investment bankers assist in the issuing and
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