Sign In
Ask Question
Journey Gonzales
Business
9 January, 14:11
What's undercapitalization?
+2
Answers (
1
)
Chace
9 January, 14:29
0
Answer:Under-capitalization refers to any situation where a business cannot acquire the funds they need. An under-capitalized business may be one that cannot afford current operational expenses due to a lack of capital, which can trigger bankruptcy, may be one that is over-exposed to risk, or may be one that is financially sound but does not have the funds required to expand to meet market demand.
Comment
Complaint
Link
Know the Answer?
Answer
Not Sure About the Answer?
Find an answer to your question 👍
“What's undercapitalization? ...”
in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Max purchased an antique watch from a local store for $500. As soon as Max stepped outside the shop with the watch, a man approached him claiming that the watch was actually his and had been stolen over a week ago.
Answers (1)
A supply-side economist would be in favor of? a. increasing government spending b. cutting taxes c. raising taxes d. regulating markets
Answers (2)
EarlKeen Co. sold $260,000 of equipment during January under a one-year warranty. The cost to repair defects under the warranty is estimated at 4% of the sales price.
Answers (1)
A rookie quarterback is negotiating his first NFL contract. His opportunity cost is 10%. He has been offered three possible 4-year contracts. Payments are guaranteed, and they would be made at the end of each year.
Answers (1)
Metlock Co. has a held-to-maturity investment in the bonds of Schuyler Corp. with a carrying value of $76,700. Metlock determined that due to poor economic prospects for Schuyler, the bonds have decreased in value to $65,000.
Answers (1)
New Questions in Business
That the total dollar amount of the debits equals the total dollar amount of the credits in the ledger accounts can be verified through a (n) a. balance sheet b. trial balance c. chart of accounts d. income statement
Answers (1)
Coronado Shoes Fool Inc. is involved in litigation regarding a faulty product sold in a prior year. The company has consulted with its attorney and determined that it is possible that they may lose the case.
Answers (1)
Suppose during 2014 that Federal Express reported the following information (in millions) : net sales of $35,497 and net income of $98.
Answers (2)
During a certain four-year period, the consumer price index (CPI) increased by 30%, but during the next four-year period, it increased by only 10%. Which of these conditions must have existed during the second four-year period? A. Deflation B.
Answers (2)
Flagstaff Company has budgeted production units of 7,900 for July and 8,100 for August. The direct materials requirement per unit is 2 ounces (oz.).
Answers (1)
Home
»
Business
» What's undercapitalization?
Sign In
Sign Up
Forgot Password?