By selling shares of ownership in their company,Ottawa Scientific acquires the funds needed to finance their research and development projects.Ottawa Scientific provides for their long-term funding needs through ________ financing.

Question

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By selling shares of ownership, Ottawa Scientific is raising funds through equity financing. This type of financing involves selling ownership in the company in exchange for funds, as opposed to taking on debt through loans or bonds. Retained financing involves using profits from the company to fund projects, and asset financing involves using physical assets as collateral for loans. Neither of these methods are mentioned in the scenario.

By Selling Shares of Ownership in Their Company,Ottawa Scientific Acquires