Question

(a) A form of equity financing or raising money by allowing investors to be part owners of the company.

Answer 1

Equity financing: The process of raising the income and to increase the funds by selling the ownership is referred to as equity financing. In this type of business, the investors become the partial owners of the company as they purchase their shares.

Angel Investors as a Source of Equity Financing: This is the form equity financing where the investors buy the stocks and become a part of the company.

Eg:

Stock business

Advantages:

• Helps to decide the ideal business
• No repayment obligation
• Extra capital

Disadvantages:

• No shield from tax
• No control over the company
• The costs of funds are high

Answer 2

Answer:

stocks

Step-by-step explanation:

stocks is where companies sell shares of ownership in their company to raise money to finance  operations, plan expansion, and so on.