Julia started a cake decorating business last year. Unfortunately it failed quickly. She is convinced that she lacked the necessary funds to promote her business and get it off the ground. What did Julia experience?
A) inadequate financial control
B) undervalued inventory
C) undercapitalization
D) a cash flow issue

Question

Quizplus · Accepted Answer

Undercapitalization occurs when a business has insufficient start-up funds.

Julia Started a Cake Decorating Business Last Year