External financing requirements (EFR) are retained earnings that are forecasted to be reinvested to fund the company's operations.

Name: External financing requirements (EFR) are retained earnings that are forecasted to be reinvested to fund the company's operations.
Brand: Quizplus
Rating: 4.9 (45 reviews)

Question

Quizplus · Accepted Answer

External Financing Requirements (EFR) refer to the funds a company needs to raise from outside sources, such as debt or equity, to finance its operations beyond what can be funded through its internal sources like retained earnings.

External Financing Requirements (EFR) Are Retained Earnings That Are Forecasted