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Question 20 Which of the following is a characteristic of the seed stage of firm development?...

Question 20

Which of the following is a characteristic of the seed stage of firm development?

a

Large size of the firm
b

Rapid growth
c

Few assets
d

Predictable earnings
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Answer #1

At seed stage, which is the the first official funding stage, the company requires funding for activities such as market research, determining target market, product development and so on. Therefore, the fir is very small in size and doesn't know whether it will be a success or not. This overrules options a, b and d and only c is the correct option because the company barely has any assets

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