104k views
1 vote
__________ refers to the investment that shareholders make in a company that cannot be recovered if the company fails and goes bankrupt. __________ refers to the investment that shareholders make in a company that cannot be recovered if the company fails and goes bankrupt.

1 Answer

2 votes

Answer:

Risk capital

Step-by-step explanation:

Risk capital relates to funds allocated to risky operation and used to invest heavy-risk, elevated-reward.

Diversification is key to a successful risk capital investment, because the prospects of each investment appear to be undetermined in nature, although the yields may be far above average when an investment is successful.

User Akshayb
by
5.3k points