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Why can statutory corporations easily raise capital for their operations?

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Question

Why can statutory corporations easily raise capital for their operations?

Options

  • Because they have unlimited authority.

  • Because they are fully owned and supported by the government.

  • Because only private banks lend to them.

  • Because they operate in every country.

MCQ
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Solution

Because they are fully owned and supported by the government.

Explanation:

Government ownership and credibility make it easier for statutory corporations to float bonds and attract investors.

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