Question

BC Edutrend Ltd. want to raise funds but there was a confusion regarding the selection of

suitable sources of funds. Company:

(i) Do not want to dilute control.

(ii) Do not want to put a fixed charge on company

(iii) not required funds for short term . (iv)

Wants to see the increase in market price of shares.

on the basis of above information answer the following questions:

(a) suggest the company about a suitable source through which it can raise funds.

(b) Explain any three merits and two demerits of the above mentioned source.​

Answer 1

Answer:

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