Equity shareholders of Smart Enterprise need money to expand their business. As a Consultant, explain to the firm proprietors five potential funding sources that could enable the business to 
raise the necessary capital. 

Consider a business firm, organized as a proprietorship, whichhas $100,000 invested in assets—a bank loan of $80,000 and $20,000personal capital invested by the proprietor. If the firm becomesinsolvent, who is at risk? Why?

The liability of those who own a corporation is limited to their investment, while proprietors and general partners have unlimited liability for the obligations of their business. Explain what relevance this has for risk management.

If a business decided to shut down due to bad business conditions, would you rather be a shareholder or a debt/bondholder? Why

If a business decided to sell out due to superior business results, would you rather be a shareholder or a debt/bondholder? Why?