wayground logo

Free Printable Worksheets

Font size

S
M
L
XL
Worksheets

Business Finance

Total questions: 106

Worksheet time: 1hrs 12mins

Name
Class
Date
1.
What is start up capital?
a)
Finance needed before starting trading.
b)
Finance paid after trading.
c)
Finance paid to banks.
2.
Profit is important to businesses because:
a)
it improves businesses, cash balances
b)
it can be used to measure business size
c)
it is a measure of businesses, success
d)
businesses need to pay taxes to the government
3.
What is capital expenditure?
a)
Money spent for fixed assets which last about 6 months.
b)
Money spent for fixed assets which last about for more than a year.
c)
Money spent on a day-to-day basis.
d)
Money spent per hour rate.
4.
What is asset?
a)
An item of property owned by a person or company
b)
An item owned by a business that lasts for several years.
5.
What is revenue expenditure?
a)
Money spent on monthly expenses
b)
Money spent on hour to hour expenses
c)
Money spent on day to day expenses
d)
None of the above
6.
What is NOT a source of Internal finance?
a)
Retained profit
b)
Sale of existing assets
c)
Issue of shares
d)
All are sources of Internal finance
7.

It accepts deposits from individuals and organizations that have excess funds and provide loans to those who are in need. This financial institution is called _______.

a)

investment banks

b)

commercial banks

c)

credit unions

d)

insurance companies

8.

One of the financial institutions that operates by collecting premiums from clients is called ____________ .

a)

brokerage

b)

credit union

c)

investment banks

d)

insurance companies

9.

This is are markets where transactions involving long-term debt or those maturing in more than a year is called _________.

a)

capital markets

b)

money markets

c)

public market

d)

product marketing

10.

It is a collection of financial products owned by a single investor, either an individual or organization is called ______.

a)

product marketing

b)

investment portfolio

c)

stock contribution

d)

product investment

11.

It is a document which the borrower gives to the lending institution in exchange for the money he borrowed is called _______.

a)

gift certificate

b)

check

c)

collateral

d)

promissory note

12.

If you hear the word "finance", what comes into your mind?

a)

bank

b)

treasurer

c)

money

d)

ATM

13.

This is the cash that is generated by the business when it operates successfully

a)

Retained profits

b)

Share capital

c)

Angel investor

d)

Owner savings

14.

Which of the statements about retained profits is false?

a)

You have unlimited amounts of money available

b)

Shareholders and employees could be frustrated because there is less profit to be 'shared out'

c)

You do not have to pay interest

d)

You are free to use it for any purpose

15.

Which of the following is NOT usually considered a personal source of finance.

a)

Savings

b)

Redundancy payments

c)

Crowdfunding

d)

Credit card

16.

Which of the following statements about personal sources of finance is false?

a)

Often cheaper in the long-term

b)

Less 'red tape' or delay in getting the cash

c)

Less personal financial risk for the entrepreneur

d)

May be harder to raise large amounts

17.

An amount of money that is paid back within an agreed amount of time, with interest

a)

Bank loan

b)

Angel investment

c)

Overdraft

d)

Retained profit

18.

Which of the following statements about bank loans is not true?

a)

Usually used for large amounts of money that need to be paid back over a longer time-frame

b)

Interest rates make the loan more expensive

c)

Easy to get

d)

Usually cheaper than consistently using a bank overdraft

19.

A short-term source of finance from a bank that usually is only used in an emergency/when needed

a)

Overdraft

b)

Loan

c)

Share capital

d)

Credit card

20.

Which of the following statements about overdrafts is not true?

a)

Short term source of finance

b)

It's really a small, short term loan

c)

It's flexible, in that it can be used whenever it is needed

d)

Cheap - the interest rate is usually lower than that of a long-term bank loan

21.

Wealthy individuals who invest in high-potential businesses are...

a)

Banks

b)

Angel Investors

c)

Shareholders

d)

Crowdfunders

22.

What do Angel Investors and Crowdfunders have in common?

a)

They require something in return for their investment

b)

They charge interest on money invested in the buisness

c)

They become part-owners of the business

d)

They are incredibly wealthy

23.

Case study: Apple plans to develop a prototype for an iPhones with a flexible display. Which of the following sources of finance would be most appropriate?

a)

Retained profits

b)

Selling shares

c)

Crowdfunding

d)

Bank loan

24.

Case study: the Business Incubator team 'TradeTools' - an online platform connecting neighbors who want to rent tools with neighbours that own them. They will pitch their business concept in May - what would be the most appropriate source of finance for this new, untested idea?

a)

Angel Investor

b)

Bank loan

c)

Personal savings

d)

Credit cards

25.

Case study: after years of success and growth, Shark Tank success story Lumibowl (a clip-on light that illuminates your toilet bowl so you 'hit your target' in dark of night!) is ready to grow extensively into other countries. It needs huge amounts of money in order to do so. Which source of finance would be a good fit?

a)

Raising share capital by transforming from a partnership to a public corporation

b)

Taking advantage of the agreed overdraft with the bank

c)

Retained profits of $80,000

d)

Crowdfunding

26.

True or false - crowdfunding is usually only used for new business start-ups/concepts and is therefore inappropriate for existing large, profitable businesses

a)

True

b)

False

27.

It implies the efficient handling of available resources.

a)

Management

b)

Allocation

c)

Utilization

28.

Funds from operations are externally generated money.

a)

True

b)

False

29.

Accumulating money by selling shares of stocks or bonds of publicly listed corporations to individuals or corporate investors.

a)

Trading of financial resources

b)

Mutual funds

c)

None of these

30.

Place where sellers and buyers of stocks and bonds meet.

a)

Market

b)

Financial Market

31.

Holder of stocks can earn income in the form of ______________.

a)

Dividends

b)

Interest

32.

Financial market where stock issued for medium security.

a)

Capital Market

b)

Money Market

c)

Primary Market

d)

Secondary Market

33.

Planning of income and expenses to run a business for certain time frame in the future is called?

a)

Operating Budget

b)

Budget Analysis

c)

Forecasting

d)

Leveraging

34.

When an asset loses value over time it is called?

a)

Salvage

b)

Net Loss

c)

Depreciation

d)

Dispose

35.

The ease with which an investment can be turned into cash is?

a)

Solvency

b)

Exchange Rate

c)

Risk

d)

Liquidity

36.

Finance is concerned with the following, except?

a)

Raising Money ( Financing)

b)

Investing Money

c)

Operating Cash

37.

What are the examples of Debt Financing?

a)

Bank Loans

b)

Issue of Preferred Shares

c)

Bank Overdraft

d)

Issue of Preferred Shares

e)

Trade Credit

38.

What are the sources of Capital?

a)

Internal and External

b)

Debt Financing and Equity Financing

c)

Asset and Liabilities

d)

Liabilities and Equity

39.

It is the money raised from the business’s own assets or from profits left in the business.

a)

Internal

b)

External

c)

Debt Financing

d)

External Financing

40.

The act of receiving investment from owners.

a)

equity financing

b)

debt financing

c)

bank overdraft

d)

bank loans

41.

What are the examples of Equity Financing?

a)

Bank Loans

b)

Bank Overdraft

c)

Issue of Common Shares

d)

Issue of Preferred Shares

e)

Trade Credit

42.

The most important function of a financial market is:

a)

to facilitate the flow of funds between lenders and borrowers

b)

to provide a market for shares.

c)

to provide information about an issuing company's financial situation.

d)

to secure profits for brokers and agents.

43.

The amount of debt and equity used by a firm to finance its operations is called the firm's:

a)

debt ratio.

b)

working capital ratio.

c)

capital structure.

d)

financial position.

44.

Short-term assets and short-term liabilities are referred to as the firm's:

a)

cash flow.

b)

capital budget.

c)

capital structure

d)

working capital.

45.

A business organisation that is similar to a sole proprietorship but has two or more owners is called a:

a)

limited liability company.

b)

corporation.

c)

dual company.

d)

partnership.

46.

In order to make a __________, a business must have more income than expenses.

a)

loss

b)

profit

c)

retail cost

d)

asset

47.

A business often needs capital to operate. One way to get capital is to...

a)

Borrow money in the form of a loan.

b)

Partner with someone who will invest money.

c)

Both choices

d)

Neither choices

48.
What does internal mean?
a)
A source from within the business
b)
A source from outside the business
49.
What does external mean?
a)
A source from within the business
b)
A source from outside the business
50.

Which is an example of an internal source of finance?

a)

Owners' Funds

b)

Venture Capital

c)

Overdraft

d)

Trade credit

51.
Which is an example of an external source of finance?
a)
Owners' Funds
b)
Hire Purchase
c)
Retained profits
d)
Sale of assets
52.

Which is an example of an external source of finance?

a)

Owners' Funds

b)

Sale of assets

c)

Retained profits

d)

Bank loan

53.
What is an advantage of a bank loan?
a)
There will be little or no interest
b)
You can pay in smaller installments
c)
They are quick and easy to arrange
d)
You don't have to pay it back
54.
What is an advantage of owners' funds?
a)
There will be little or no interest
b)
You can pay in smaller installments
c)
They take a long time to arrange
d)
You don't have to pay it back
55.

What is an advantage of an overdraft?

a)

There is never interest

b)

You can pay in smaller installments

c)

Useful for relatively small sums and short term finance

d)

You don't have to pay it back

56.

What type of finance involves less profit going to the owners?

a)

Retained profit

b)

Sale of assets

c)

Overdraft

d)

Bank loan

57.

Which of these facts about venture capital is NOT true?

a)

Venture capitalists tend to operate in fairly risky markets

b)

Venture capitalists would be paid a share of the profits

c)

Venture capitalists usually provide money only and have no interest in running the business

d)

Venture capitalists usually invest large sums of money

58.

Which of the following facts about crowd-sourcing is/are TRUE? (choose as many as apply!)

a)

It is a method of internal fund raising

b)

Can also be an excellent marketing tool for a business

c)

It doesn't matter if the product launched is not successful

d)

Great way of raising money quickly, esp. for a new business idea

59.

Short Term sources of finance usually require money to be repaid within.....

a)

1 week

b)

1 month

c)

6 months

d)

1 year

60.

Long Term sources of finance are for when the time needed to pay the money back is more than...

a)

6 months

b)

1 year

c)

5 years

d)

10 years

61.

Which of the following are DISADVANTAGES of selling shares as a source of funds? (select as many as appropriate)

a)

It means limited liability for the owners

b)

Dividends need to be paid to shareholders

c)

Large sums of money can be raised

d)

Does not apply to Partnerships or Sole Traders

62.

Which of the following would be the most appropriate source of funds for a new business (which is just launching) that makes mobile phone accessories?

a)

Retained Profit

b)

Sale of Assets

c)

Share Capital

d)

Trade Credit

63.
What is one difference between Banks and Credit Unions?
a)
Banks have Checking accounts and Credit Unions have Savings Accounts
b)
Banks are for profit.  Credit Unions are Non-profit.
c)
Banks can give loans and Credit Unions cannot
d)
Credit Unions allow everyone to join and Banks are selective
64.
What is the name of a legal document that functions like cash?
a)
Check
b)
ATM
c)
Deposit slip
d)
PIN
65.
How do financial institutions make most of their money?
a)
Fees
b)
Interest
c)
Mutual Funds
d)
Loan Payments
66.
The tools and strategies the Federal Reserve uses to stabilize the economy is called?
a)
Fiscal Policy
b)
Monetary Policy
c)
Tight Money
d)
Easy Money
67.
Banks create money by taking in deposits, making _______, and charging _______.
a)
interest, payments
b)
loans, interest
c)
payments, loans
d)
debt, loans
68.
My family is going on vacation this summer, so we are sticking to a ______ to save money.
a)
Income
b)
Savings
c)
Budget
d)
Expenses
69.
To have a __________ at the end of the month, I have to make sure I don't spend more than I earn and have some money to save at the end of the month.
a)
Income
b)
Expense
c)
Balanced Budget
d)
Savings
70.
At the end of the month, the money I haven't spent is ________.
a)
Spent quickly
b)
Income
c)
Savings
d)
Expenses
71.
When you are making payments on a car and/or house you have a _____.
a)
Withdraw
b)
Bankruptcy
c)
Debt
d)
Overdraw
72.
Many famous people don't spend their money wisely and end up in ______.
a)
Interest
b)
Withdraw
c)
Inflation
d)
Bankruptcy
73.

Businesses and organisations which specialise in providing services such providing easy ways to make payment and store money are best described as 'financial institutions'.

a)

True

b)

False

74.

A central bank usually performs which combination of the following functions...(select 2)

a)

It issue notes and coins for the nations currency and is where the king or queen holds their money

b)

It manages the nation's gold reserves and manages payments to and from the government

c)

It prints money for the banks to store until people withdraw it and issues the notes and coins

d)

It issue notes and coins for the nations currency and is the lender of last resort to the banking system

75.

Governments can raise money to finance public spending through the sale of...

a)

James

b)

Bonds

c)

Shares

d)

Stocks

76.

Firms do not have to pay back the money that they raise through the sale of shares...

a)

True

b)

False

77.

Credit Unions

a)

These banks specialise in helping large business organisations to raise finance to fund their operations and expansion, usually through helping them to issue an sell stocks and shares on the stock market.

b)

These are also known as savings and loans associations or building societies.

c)

This is a co-operative, not-for-profit organisation, owned by and for its members. They provide low cost loans for people on low incomes.

d)

This type of bank offers services based on the principles of Sharia Law which forbids interest charges and payments.

78.

Functions of Central Bank that Administer and manage national debt.

a)

Bank of issue

b)

Government Banker

c)

Custodian of cash

d)

Custodian of national reserve

79.
Which of these is NOT a monetary policy tool?
a)
Discount rate
b)
Balance Accounts
c)
Open Market Operation
d)
Reserved Requirements
80.
Selling bonds
a)
increases money supply
b)
decreases money supply
81.
Buying bonds
a)
increases money supply
b)
decreases money supply
82.
High reserve requirements 
a)
lower the money supply
b)
increase the money supply
83.
Low reserve requirements 
a)
lower the money supply
b)
increase the money supply
84.
What is an action of monetary policy?
a)
reduce taxes
b)
changing reserve requirements
c)
increase spending
d)
borrow money for deficit
85.
Which of the following scenarios would cause the nation’s money supply to increase?
a)
Decreasing government spending
b)
Lowering interest rates
c)
Raising interest rates
d)
Selling bonds to investors
86.
A company owned by families or a small number of investors and do not issue stock to the public.
a)
public company
b)
industry
c)
private company
d)
portfolio
87.
Stocks represent ownership in a corporation.
a)
TRUE
b)
FALSE
88.
A holder or owner of stock in a company or corporation.
a)
stock market
b)
shareholder
c)
portfolio
d)
industry
89.
People who own stocks are guaranteed a return on the money they have invested in stocks.
a)
TRUE
b)
FALSE
90.
You can buy stock in any company in the world.
a)
True, all companies are required to offer stock.
b)
False, a company is only listed on the stock exchange if it wants to be.
91.
One way stockholders make money is by selling their stock for more money than they paid for it.
a)
TRUE
b)
FALSE
92.
Why does a company issue stock?
a)
to brag about their profits
b)
to attract money
c)
to gain publicity
d)
because it is required by law
93.
The stock market is a physical place.
a)
Yes, it's located in most major cities around the world.
b)
No, trading is all done online.
c)
Yes and No, there are physical places where stocks are sold, but they are also sold virtually.
94.
The possibility of losing some or all of a particiular investment.
a)
risk
b)
index
c)
industry
d)
profit
95.
What is the stock market?
a)
A type of farmers market where people buy and sell food.
b)
A place where parts of businesses are bought and sold.
c)
A special type of grocery store that sells stocks.
d)
A type of bank that gives out loans to new businesses.
96.
The name for a part of a business that is bought and sold on the stock market is:
a)
Part
b)
Marker
c)
Stocker
d)
Share
97.
Why would a company need to issue stock?  
a)
To increase its' customer base.
b)
To raise money.
c)
To stop the government from regulating it.
d)
To show customers that it's successful.
98.
As long as you are 18 years old and have some money, you can invest it in the stock market.
a)
True
b)
False
99.
Apple is releasing a new iPhone that is predicted to change the cell phone world.  Millions of people have pre-ordered it.  What do you think will happen to their stock?
a)
It is likely to go up.
b)
It is likely to go down.
100.
A company owned by families or a small number of investors and do not issue stock to the public.
a)
public company
b)
industry
c)
private company
d)
portfolio
101.
A company that sells stock on the stock market.
a)
private company
b)
market capitalization
c)
public company
d)
stock market
102.
A sum of money paid to shareholders of a corporation out of its earnings.
a)
index
b)
dividend
c)
profit
d)
invest
103.
To put money to use by purchasing something offering potential profitable returns as interest, income, or appreciation in value.
a)
portfolio
b)
stock
c)
invest
d)
index
104.

Stock prices are going up in a:

a)

Bear Market

b)

Bull Market

c)

Peak Market

d)

Soft Market

105.

Stock prices are going down in a:

a)

Bear market

b)

Bull market

c)

Peak market

d)

Soft market

106.

What is the benefit of investing in a portfolio vs an individual stock?

a)

Diversification

b)

Higher return

c)

Easy to manage

Similar Resources on Wayground

Last Day

111 questions

Last Day

quiz

Worksheet

•

6th Grade

VERBS

103 questions

VERBS

quiz

Worksheet

•

3rd - 4th Grade

med surg final

102 questions

med surg final

quiz

Worksheet

•

University - Professi...

Quiz Gerakan KEPALANGMERAHAN

101 questions

Quiz Gerakan KEPALANGMERAHAN

quiz

Worksheet

•

Professional Development

THUD quizz 3

101 questions

THUD quizz 3

quiz

Worksheet

•

University

Business Y11 mainly Paper 2

109 questions

Business Y11 mainly Paper 2

quiz

Worksheet

•

9th - 10th Grade

TKG 2018

111 questions

TKG 2018

quiz

Worksheet

•

University

FILIPINO 9 INVENTORY EXAM 2022-2023

106 questions

FILIPINO 9 INVENTORY EXAM 2022-2023

quiz

Worksheet

•

9th Grade