What was the source of internal funding for ABC Manufacturing Ltd.?

Option 1 -> Debt issuance involves borrowing funds from external lenders like banks or bondholders, making it an external source of funding. Option 2 -> Equity sale refers to raising capital by selling shares to outside investors, which is an external financing method. Option 3 -> Retained earnings are profits that the company keeps and reinvests rather than distributing as dividends, representing an internal source of funding. Option 4 -> Working capital loans are borrowed from external financial institutions to meet short-term operational needs, making them an external funding source. Hence, Option 3: Retained earnings -> Retained earnings represent the accumulated profits that a company has retained for reinvestment in the business rather than distributing to shareholders. This is a pure internal source of funding as it comes from the company's own operations and does not involve any external parties or obligations -> correct