Which statement is an example of collateral?
A) A firm must pay a higher coupon rate on bonds at their issuance due to risk.
B) Venture capitalists receive partial ownership of a firm.
C) Private equity funders demand partial ownership.
D) A bank has the right to take ownership of a factory building if the borrower defaults on the mortgage loan.
Correct Answer:
Verified
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Q72: Who has equity capital in a firm?
A)
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