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Sources Of Business Finance

Question

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Why is equity share capital called risky capital ?

Solution

Equity share capital is called risky capital as it has risk of fluctuating return.

Some More Questions From Sources of Business Finance Chapter

Give meaning of fixed capital.

Give meaning of working capital.

Give types of working capital.

Give meaning of owner’s capital.

Give meaning of borrowed capital.

Give meaning of long-term finance.

Give meaning of medium-term finance.

Give meaning of short-term finance.

Define shares.

Give the types of shares.

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