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san4es73 [151]
2 years ago
7

You are the CFO of Rock Inc, a young start-up. The company has not generated positive cash flows for the past three years and yo

u estimate that it will take at least another 2 years for the company to become cash flow positive. To fund the next phase of growth, what should be a better source of capital, debt or equity? Why?
Business
1 answer:
Nezavi [6.7K]2 years ago
8 0

Answer:

Equity

Explanation:

The choice should be very straight forward, the company doesn't generate enough cash, and if it takes debt, it will not be able to pay it back. The only choice for raising capital is through issuing equity.

This is something normal for many startups, e.g. FB, Amazon, Google, etc., all got financed through equity for several years before being able to issue debt.  Of course debt is cheaper than equity, but it also poses a risk for the company.

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stellarik [79]

Cardiogenic shock following ami is caused by:

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2 years ago
Which one sounds better?<br> Basic Betty OR Basic Betsey
Arlecino [84]

Answer:

Basic Betty

Explanation:

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6 0
3 years ago
Read 2 more answers
Characteristics of level production include. Select one or more:
Anna007 [38]

Answer:

Characteristics of level production include:

a. All of these answers are correct.

Explanation:

Production leveling was originated in Japan, and it is called production smoothing too, its strategic plan modifies inventory stock to keep a balanced production level for an specific period, to leveling by volume, or by product. This approach requires careful management of the orders so they can be predicted reasonably and accurately in terms of facility restraints, or to reduce the valueless added section of the production time, and to remove the waste of items in a row, to adapt getting throughput rates.

8 0
3 years ago
Shantel has a checking account balance of $318.59. She wrote a check to United farmers Market for $52.17. What is Shantel's new
AlladinOne [14]

Answer:

$266.42

Explanation:

$318.59-$52.17=$266.42

6 0
2 years ago
ou are the loan department supervisor for the Pacific National Bank. The following installment loan is being paid off early, and
satela [25.4K]

Answer:

$56.74

Explanation:

Base on the scenario been described in the question, we can use the following method to solve the problem

Solution Correct Response Calculate the amount financed, the finance charge, and the monthly payments for the following add-on interest loan. Purchase(Cash) Price Down Payment Amount Financed Add-onInterest Number of Payments Finance Charge $78810% $8%12 $56.74

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