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Question
Name three sources of owned funds for business.
Answer in Brief
Solution
- Owned funds refer to funds provided by the owners.
- In a sole proprietorship, the proprietor himself provides funds from his own savings, family, relatives and friends.
- In a partnership firm, partners contribute the capital.
- In the case of a joint stock company, funds raised through the issue of shares and reinvestment of earnings are the owned funds.
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Sources of Raising Capital
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