Which of the following refers to the investment that shareholders make in a company that cannot be recovered if the company fails and goes bankrupt?
A) Profitability
B) Shareholder value
C) Debt
D) Risk capital
E) Return on invested capital

Question

Quizplus · Accepted Answer

Risk capital refers to the investment made by shareholders in a company that cannot be recovered if the company fails and goes bankrupt. It is also known as "venture capital" or "equity capital."

Which of the Following Refers to the Investment That Shareholders