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Equity Financing Differs from Security Financing in That, with Equity

Question 197

Multiple Choice

Equity financing differs from security financing in that, with equity financing, a company:


A) has no liability to repay shareholders the amount they have invested
B) must pay back at least half a shareholder's investment
C) has complete liability to repay shareholders the amount they have invested
D) must repay all investments, but has no specific time limit for doing so
E) must pay at least 1.5% interest on all investments

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