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Question-1
The money which is obtained from within the business is:
(A)
Extremal finance
(B)
Internal finance
(C)
Bank loan
(D)
Shares
Question-2
What do you call the long - term loan certificate issued by limited companies?
(A)
Bank loan
(B)
Shares
(C)
Savings
(D)
Debentures
Question-3
This allows a business to buy a fixed asset over a long period of time which includes interest rate. This is:
(A)
Trade credit
(B)
Shares
(C)
Hire purchase
(D)
Overdraft
Question-4
What do you call a business that delays to pay its suppliers?
(A)
Over draft
(B)
Bank loan
(C)
Lease
(D)
Trade credit
Question-5
This source of finance is NOT available to new businesses.
(A)
Bank loan
(B)
Sale of fixed assets
(C)
Lease
(D)
Hire purchase
Question-6
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-7
Security or collateral is required for:
(A)
Shares
(B)
Bank loan
(C)
Profit
(D)
Sale of assets
Question-8
Shares are referred to as:
(A)
Equity
(B)
Debenture
(C)
Capital
(D)
Loan
Question-9
What do you call the finance which is available for 3 - 10 years?
(A)
Short term finance
(B)
Medium term finance
(C)
Long term finance
(D)
Overdraft
Question-10
Some businesses decide to sell off some fixed assets for cash and lease them back from a leasing company. This is termed as:
(A)
Leasing
(B)
Hire purchase
(C)
Sale & lease back
(D)
Bank loan
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Cambridge Advanced Grade 12
IGCSE
Practice in Related Chapters
Purpose of Business Activity
Types of Business Activity
Other External Influences on Business
Forms of Business Organisation
Financing Business Activity
Enterprise
Business Structure
Size of Business
Business Objectives
Recruitment, Training and Human Resources
External Economic Influences on Business Behaviour
Stakeholders in a Business
Organisational Structure
Government and Economic Influences on Business
Managing a Business
Communication in Business
Motivation at Work
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