The financial funds needed to acquire assets necessary to support a firm's sales growth is called:
A)spontaneously generated funds
B)additional funds needed
C)addition in retained earnings
D)financial capital needed

Question

Quizplus · Accepted Answer

The financial funds needed to acquire assets necessary to support a firm's sales growth is called financial capital needed. Option A, spontaneously generated funds, refers to the funds that are generated internally by the business without requiring any additional financing. Option B, additional funds needed, refers to the amount of funds required by the company beyond the internally generated funds to achieve the desired sales growth. Option C, addition in retained earnings, refers to the portion of net income that is not paid out as dividends, which is added to the company's retained earnings account. None of these options accurately describe the financial funds needed to acquire assets necessary to support a firm's sales growth.

The Financial Funds Needed to Acquire Assets Necessary to Support