IGCSE Business Quiz

A mortgage is a source of finance needed if the firm is buying

• equipment
• premises
• shares
• stock

Total costs are...

• the amount of money spent setting up a business

• money spent on a regular basis to keep a business running

• Fixed Costs + Variable Costs

• costs which change with output

Revenue is

• price x output (sales)

• price x costs

• Fixed costs x variable costs

• Price x breakeven

What is an advantage of a bank loan?

• There will be little or no interest

• You can pay in smaller installments

• Everyone can get a loan

• You don't have to pay it back

Government aid offered to businesses.

• Debentures

• Bonds

• Loan Capital

• Grants

The credit extended to you by suppliers who let you buy now and pay later.

• Trade Credit
• Loan Capital
• Visa
• Retained Profit

Drawing out more money than the amount that is available in your bank account.

• Savings

• Overdrafts

• Trade credit

• Retained profit

This is the finance that is used to buy fixed assets like Machinery, equipment and buildings.

• Revenue Expenditure

• Capital Expenditure

• Fixed Costs

• Variable Costs

Hiring an asset instead of purchasing it

• Leasing

• Loan

• Micro-Finance

• Debt Factoring

This is the amount of money available for the day-to-day running of a business.

• Venture Capital

• Working Capital

• Share Capital

• Microfinance