Prepayments and owners' equity are both sources of financing.

Name: Prepayments and owners' equity are both sources of financing.
Brand: Quizplus
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Quizplus · Accepted Answer

Prepayments are not sources of financing, but rather represent payment made in advance for goods or services that will be received at a future date. Owners' equity represents the portion of a company's assets that are owned by shareholders, and can be considered a source of financing as it represents funds invested by owners into the business.

Prepayments and Owners' Equity Are Both Sources of Financing