Question

During the first nine months of 2013, how much debt did Chevron issue? Please provide your answer in millions without comma separator or decimal (Ex: 343323456)

Answer 1

5000 millions

Step-by-step explanation:

Debt is an important source to finance business operations. The Chevron has issued 5000 million of debt in 2013. The reason for issuing such huge amount of debt is to finance the acquisition of machinery or purchase inventory. This helps the company to grow its business and expand its operations. Debt is an easy and cheap source of finance and mostly organizations prefer issuing debt instead of equity. On the other hand issuing high debt increases the company gearing and risk level.