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Which items are included in borrowed funds?

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Question

Which items are included in borrowed funds?

Options

  • Dividend and after-tax profits

  • Equity, preference share capital, reserves and retained earnings

  • EBIT and EPS

  • Loans, debentures and public deposits

MCQ
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Solution

Borrowed funds include loans, debentures and public deposits. They form the debt component of capital structure.

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