Firms that require funds from external sources can obtain them from

Question

Quizplus · Accepted Answer

Firms can obtain funds from private placement, financial institutions, and financial markets. Private placement involves selling securities directly to a small group of investors, typically without involving the public markets. Financial institutions such as banks offer loans, lines of credit, and other types of financing. Financial markets, including stock exchanges and bond markets, enable firms to raise funds by selling securities to the public. Therefore, all of the options (A, B, and C) are viable sources of external funding for firms.

Firms That Require Funds from External Sources Can Obtain Them