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WorksheetsSources of Finance- BTEC Business Unit 3
Total questions: 12
Worksheet time: 6mins
This is the cash that is generated by the business when it operates successfully
Retained profits
Share capital
Angel investor
Owner savings
Which of the statements about retained profits is false?
You have unlimited amounts of money available
Shareholders and employees could be frustrated because there is less profit to be 'shared out'
You do not have to pay interest
You are free to use it for any purpose
Which of the following statements about bank loans is not true?
Usually used for large amounts of money that need to be paid back over a longer time-frame
Interest rates make the loan more expensive
Easy to get
Usually cheaper than consistently using a bank overdraft
True or false - crowdfunding is usually only used for new business start-ups/concepts and is therefore inappropriate for existing large, profitable businesses
True
False
What of the following is a source of internal finance?
Selling assets
Trade credit
A bank loan
With leasing,ownership (a) passes to the business customer
(a) is a system by which someone pays for a product in regular installments whilst having the use of it.
