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10 cards from this deck
Borrowing from external sources that must be repaid with interest
Internal funding from within business (owner capital, profits)
Tax deductible, reduces taxable income
Not tax deductible
No fixed repayment date, funds remain indefinitely
Lenders paid first, shareholders get residual (what remains)
Proportion of debt relative to equity in capital structure
Higher risk investments require higher returns
Investing own savings without external credit or borrowing
Agreement with suppliers allowing delayed payment for goods
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