Companies raise capital in two main ways: debt and equity. in a free economy, capital is allocated through a market system. the the price that lenders receive and borrowers pay for debt. there is no single "price"—"prices" on different types of debt vary depending on the borrower's risk, the use of funds borrowed, the collateral used to back the loan, and the length of time the funds are needed.

1)dividend payment

2)capital gain

3) interest rates

As a result of a labeling mistake at the chemical factory, a farmer accidentally sprays weedkiller rather than fertilizer on half her land. as a result, she loses half of her productive farmland. if the property of diminishing returns applies to all factors of production, she should expect to seea. a decrease in the marginal productivity of her remaining land and an increase in the marginal productivity of her labor. b. an increase in the marginal productivity of her remaining land and an increase in the marginal productivity of her labor. c. an increase in the marginal productivity of her remaining land and a decrease in the marginal productivity of her labor. d. a decrease in the marginal productivity of her remaining land and a decrease in the marginal productivity of her labor.