The term "spontaneously generated funds" generally refers to increases in the cash account that result from growth in sales, assuming the firm is operating with a positive profit margin.
a. True
b. False
The term "spontaneously generated funds" generally refers to funds that a firm must raise externally. The way they did this is could either by: - issuing a bond payable and promise to pay up an interest rate in return - Sell out their ownership of the company in the form of stocks.
