The majority of an established firm's capital is generated:
A) internally.
B) externally.
C) through issuance of new shares.
D) through funded debt.

Question

Quizplus · Accepted Answer

An established firm typically generates the majority of its capital through internal sources, such as retained earnings, rather than external sources such as issuing new shares or taking on funded debt. This allows the firm to maintain control over its operations and decision-making processes.

The Majority of an Established Firm's Capital Is Generated