Question
Which is an example of debt financing?
Responses
sale of company shares
sale of company shares
money from an angel investor
money from an angel investor
bank loan
bank loan
scheduling an IPO
Responses
sale of company shares
sale of company shares
money from an angel investor
money from an angel investor
bank loan
bank loan
scheduling an IPO
Answers
GPT-4o mini
An example of debt financing is a **bank loan**. Debt financing involves borrowing money that must be repaid over time, typically with interest. In contrast, the sale of company shares and money from an angel investor represent equity financing, where investors provide capital in exchange for ownership interests in the company. Scheduling an IPO (Initial Public Offering) is also related to equity financing.