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Explain different methods to raise capital. Your answer should include the advantages and disadvantages of the methods. (8marks) Question 1 Imagine two siblings, Tony and

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Explain different methods to raise capital. Your answer should include the advantages and disadvantages of the methods. (8marks)

Question 1 Imagine two siblings, Tony and Jack Lee are Malaysia. They need to raise RM3 million ngs, Tony and Jack Lee are planning to set up a company in need to raise RM3 million to get their company off the ground. For many entrepreneurs, especially first-time founders, raising capital can be da Tony has proposed to Jack a few methods to raise capital as following:- 1. Preference shares 2. Debentures 3. Ordinary shares 4. Bank borrowing Required: Explain the different methods to raise capital. Your answer should include the advantages and disadvantages of the methods. [8 marks]

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