Respuesta :
Between equity and debt, stock falls under equity capital.
What is the difference between equity and debt capital?
Debt capital is borrowed capital that must be repaid later. It is any form of growth capital that a company raises through debt. These loans can be long-term or short term like overdraft protection. Loan capital does not dilute the business owner's interest in the business. But it can be difficult to repay the interest until the loans are paid off, especially if interest rates rise.
Equity capital usually comes from funds invested by shareholders, the cost of equity is a little more complex. Equity funds don't require a company to go into debt, which means it doesn't have to be repaid. But there is a certain degree of return on investment that shareholders can reasonably expect based on the overall market performance and volatility of the stock in question.
Learn more about Equity and Debt Capital at:
https://brainly.com/question/1957305
#SPJ1
