The main sources of financing for businesses,in order of importance,are
A) financial intermediaries, issuing bonds, issuing stocks.
B) issuing bonds, issuing stocks, financial intermediaries.
C) issuing stocks, issuing bonds, financial intermediaries.
D) issuing stocks, financial intermediaries, issuing bonds.

Question

Quizplus · Accepted Answer

Financial intermediaries, such as banks, are typically the primary source of financing for businesses due to their accessibility and the variety of financial instruments they offer. Issuing bonds is often the next most viable option, providing a way to raise large amounts of capital without diluting ownership. Issuing stocks is another common method, although it might not always be preferred due to the potential dilution of control.

The Main Sources of Financing for Businesses,in Order of Importance,are