Spontaneous sources of financing are sources over which the firm has no control.

Question

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Spontaneous sources of financing are sources of financing that arise naturally from the firm's operations, such as trade credit from suppliers or delayed payments to customers. These are sources that the firm can control to some extent by managing its relationships with suppliers and customers. Conversely, uncontrollable sources of financing are sources that are determined by external factors, such as interest rates or economic conditions, over which the firm has little control.

Spontaneous Sources of Financing Are Sources Over Which the Firm