COST ACCOUNTING
FINANCIAL TERMINOLOGY
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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a person who commits capital the expectation of financial returns
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Maintains an ownership stake, and participates in company decisions
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a person or organization that pays some or all of the costs involved
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Money that is given, by a company to support a person or activity
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Detailed explanation-1: -An investor is any person or other entity (such as a firm or mutual fund) who commits capital with the expectation of receiving financial returns.
Detailed explanation-2: -An angel investor, sometimes called a business angel, usually works alone and are the first investors in a business. They’re often established, wealthy individuals looking to provide money as capital to a business they believe has potential.
Detailed explanation-3: -An investor is an entity that commits money to a venture with an expectation of generating a return. The type of commitment made can be in many forms, such as a guarantee to pay creditors, a loan, an equity investment, tangible assets, or even the contribution of labor.
Detailed explanation-4: -Most investors would view an average annual rate of return of 10% or more as a good ROI for long-term investments in the stock market.