menu
Sign up

If Abercrombie & Fitch Borrows $8 Million from a Bank

Question 140
Multiple Choice

If Abercrombie & Fitch borrows $8 million from a bank to finance the construction of a new store,this is an example of A) a stock market transaction. B) direct finance. C) a bond market transaction. D) indirect finance.

Related questions
Q 141
Abercrombie & Fitch wants to raise $8 million to finance the construction of a new store,and the company wishes to raise the funds through direct finance.Which of the following methods could it use? A) It could sell $8 million in bonds. B) It could borrow $8 million from a bank. C) It could issue $8 million in stocks. D) It could choose either A or C.
Q 142
A financial security that represents a promise to repay a fixed amount of funds is a A) share of stock. B) coupon. C) dividend. D) bond.
Q 143
Dividends are A) financial securities which represent ownership in a corporation. B) the yearly payments associated with bonds. C) the interest rate paid on shares of stock. D) payments by a corporation to its shareholders.
logo
© 2020-2021 Cozyplus FZ LLC. All rights reserved