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1. Briefly describe venture debt capital and venture equity capital.

2. Describe how the costs of debt and equity differ from the perspective of accounting measures.

3. The three types of financing employed by Lovely Confectioner is as follows:  

(1)  Owner's Equity                                                                     $ 300,000 

(2)   Capital gain on sale of house                                              $   50,000 

(3)   Loan                                                                                     $  50,000 

The types are listed in the above  order because : First the entrepreneur purchased Land for the confectionary with her owned money which she got from her own sources.Then she got overhauling of the shop for which she sold her house and with the capital gain she got the shop overhauled.after date, she purchased Equipment, for which she took Loan.So, the above is in the same order.

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