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Question-1
Which of the following allows the firm to use an asset, but it does not have to purchase it?
(A)
Leasing
(B)
Hire purchase
(C)
Bank loans
(D)
Overdrafts
Question-2
Security or collateral is required for:
(A)
Shares
(B)
Bank loan
(C)
Profit
(D)
Sale of assets
Question-3
This reduces the opportunity cost and storage cost of high stock levels.
(A)
Running down stocks
(B)
Sale of existing assets
(C)
Retained profit
(D)
Owner's savings
Question-4
This option is available only to limited companies. The option is:
(A)
Bank loan
(B)
Trade credit
(C)
Lease
(D)
Issue of shares
Question-5
The money which is obtained from within the business is:
(A)
Extrernal finance
(B)
Internal finance
(C)
Bank loan
(D)
Shares
Question-6
Finance is :
(A)
Money
(B)
Asset
(C)
Liability
(D)
Loan
Question-7
The specialist agencies buy the debts of the firm for immediate cash. This process is known as:
(A)
Issue of shares
(B)
Bank loans
(C)
Factoring of debts
(D)
Profit
Question-8
What do you call the working capital needed by business for day - to - day operations?
(A)
Short term finance
(B)
Long term finance
(C)
Medium term finance
(D)
Finance
Question-9
This source of finance is NOT available to new businesses.
(A)
Bank loan
(B)
Sale of fixed assets
(C)
Lease
(D)
Hire purchase
Question-10
Ploughed back profit is an example for:
(A)
Internal finance
(B)
External finance
(C)
Narrow finance
(D)
Bank loan
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Cambridge Advanced Grade 11
IGCSE
Practice in Related Chapters
Stakeholders in a Business
Managing a Business
Financing Business Activity
External Economic Influences on Business Behaviour
Enterprise
Business Structure
Size of Business
Business Objectives
The Purpose of Business Activity
Forms of Business Organisation
Types of Business Activity
Business Costs and Revenue
Recruitment,Training and Human Resources
Other External Influences on Business
Organisational Structure
Government and Economic Influences on Business
Communication in Business
Motivation at Work
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