What is the difference between equity and debt financing.

A) Equity financing is a loan, while debt financing involves selling ownership in the company
B) Equity financing involves selling ownership in the company, while debt financing is a loan
C) Equity financing is a short-term financing option, while debt financing is a long-term financing option
D) Equity financing is a long-term financing option, while debt financing is a short-term financing option
Answer: B) Equity financing involves selling ownership in the company, while debt financing is a loan

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