00:01
All right, so i see that you need help with these questions, and it says funds to purchase physical capital and land typically are supplied to new firms by financial markets, which include banks, bond markets, and stock markets.
00:15
And the correct answer would be d financial.
00:22
It is financial because funds are used to purchase physical capital and land, and those are obtained through financial markets.
00:31
Number seven, for the owner of a new business, an advantage of issuing bonds to fund the business, is the owner a retains complete control of the business and all of the profits.
01:06
So when a business issues bonds, it is borrowing money that must be repaid with interest, but the bondholders do not own any part of the business.
01:15
And what that means is that the owner does not give up any ownership or control, unlike issuing stock.
01:23
So if a business issues stock, it is exchanging a portion of the business's future profits for current funds to expand the business...