ENTREPRENEURSHIP

Detailed explanation-1: -Working capital is the money used to cover all of a company’s short-term expenses, including inventory, payments on short-term debt, and day-to-day expenses-called operating expenses.

Detailed explanation-2: -venture capital. the money needed to pay for the current operating activities of a business. short-term financing.

Detailed explanation-3: -The main sources of short-term financing are (1) trade credit, (2) commercial bank loans, (3) commercial paper, a specific type of promissory note, and (4) secured loans.

Detailed explanation-4: -Short-term financing means business financing from short-term sources, which are for less than one year. The same helps the company generate cash for working of the business and for operating expenses, which is usually for a smaller amount.

Detailed explanation-5: -The interest paid on short-term bank loans is included in the operating activities section of the statement of cash flows.