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Sources of finance

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

Finance needed to create and open your business = ???

a)

Fixed costs

b)

Working capital

c)

Go finance

d)

Start up finance

2.

Money needed to function from day to day = ???

a)

Gross profit

b)

Working capital

c)

Dividends

d)

Working growth

3.

Example of internal finance = ???

a)

Personal savings

b)

Bank loan

c)

Credit card

d)

Venture capital

4.

Example of internal finance = ???

a)

Bank overdraft

b)

Sale of assets

c)

Bank loan

d)

Leasing

5.

Example of external finance = ???

a)

Personal savings

b)

Retained profit

c)

Trade credit

d)

Sale of assets

6.

Example of external finance = ???

a)

Sale of assets

b)

Retained profit

c)

Personal savings

d)

Government grant

7.

A supplier lets you buy now and pay later = ???

a)

Trade credit

b)

Sales revenue

c)

Inventory

d)

Dividend

8.

Somebody invests in your business in return for shares = ???

a)

Working capital

b)

Sale of assets

c)

Venture capital

d)

Leasing

9.

A term used to describe renting assets = ???

a)

Leasing

b)

Trade debtor

c)

Current asset

d)

Working capital

10.

A card that lets you buy things now and pay off later (with interest charges added) = ???

a)

Venture capital

b)

Debit card

c)

Credit card

d)

Crowdfunding

11.

Numerous people invest small amounts into your business. Often via a website = ???

a)

Squadfunding

b)

Groupfunding

c)

Crowdfunding

d)

Friendfunding

12.

Purchase of fixed assets such as vehicles and equipment = ???

a)

Capital expenditure

b)

Working capital

c)

Revenue expenditure

d)

Running costs

13.

Day to day costs = ???

a)

Start up costs

b)

Capital expenditure

c)

Current assets

d)

Revenue expenditure

14.

Finance raised from outside the business = ???

a)

Intrinsic source

b)

Internet source

c)

Working capital

d)

External source

15.

Money being paid out by a business = ???

a)

Cash outflow

b)

Net cash flow

c)

Cash inflow

d)

Income

16.

Money received = ???

a)

Expenditure

b)

Cash outflows

c)

Cost of sales

d)

Cash inflows

17.

How can a business improve cash flow???

a)

Negotiate higher prices with suppliers

b)

Decrease sales price per unit

c)

Raise sales price per unit

d)

Increase staff wages

18.

____ are finances that can be found inside the business such as retained profits and the owners personal savings.

a)

3rd party sources

b)

External sources

c)

Dividends

d)

Internal sources

19.

Total costs = ???

a)

Fixed costs + variable costs

b)

Fixed costs / variable costs x 100

c)

Fixed costs - variable costs

d)

Fixed costs x variable costs

20.

Total sales revenue = ???

a)

Price per unit / number of units sold x 100

b)

Price per unit x number of units sold

c)

Price per unit + number of units sold

d)

Price per unit - number of units sold