r. Jones is a successful entrepreneur. He is currently planning a new business venture, but he doesn’t have sufficient funds for the new business. Which strategies indicate that Mr. Jones is using his property rights to obtain credit?
selling his penthouse apartment in New York
issuing shares for the new company
using his family home as collateral for a loan
withdrawing money from his certificate of deposit
mortgaging his factory building

Question

18-10-2017
Business

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r. Jones is a successful entrepreneur. He is currently planning a new business venture, but he doesn’t have sufficient funds for the new business. Which strategies indicate that Mr. Jones is using his property rights to obtain credit?
selling his penthouse apartment in New York
issuing shares for the new company
using his family home as collateral for a loan
withdrawing money from his certificate of deposit
mortgaging his factory building

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andriansp andriansp · Answer 1 · 2017-10-18T23:47:41+02:00

The strategies are :
- using his family home as collateral for a loan
-mortgaging his factory building

Your credit score will goes up as a number of Assets you own increase in value. Habinng high-value asset such as House and factory would be really useful as a Debt instrument that makes the lender feel safer in giving R.Jones the Loan, because the lenders could take it if R. Jones not paying his due.