Class 11 Business Studies Chapter 7 Sources Of Business Finance Quiz 12 (39 MCQs)

Quiz Instructions

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1. Your financial records are not confidential, so you have to show them to banks or investors
2. Which of the following is an example of an internal source of business finance?
3. Preference share holders are called
4. What is batch production?
5. This long-term source of finance comes from the person who owns the business.
6. ADRs/GDRs can be issued by
7. What source of finance often requires no interest, equity, security or repayment?
8. Whichof thefollowing is adrawbackfor anentrepreneursetting up a business as asole trader?
9. Complete the following statements with appropriate word(s) in the blank spaces:1. The relationship between the size of business and the need for its finance is .....
10. Which of the following instrument is also known as Hybrid Security?
11. Which of the following is not an internal source of business finance?
12. An external source of finance that involves selling trade receivables
13. ..... is an example of short term finance.
14. Firms can raise cash by selling assets they they no longer require-normally these are non-current assets. Examples would be a business selling land or buildings that they no longer utilize.
15. "The money invested by an individual or group that is willing to take the risk of funding a new business in exchange for an agreed share of the profits" best describes which long term source of finance?
16. What is the process of obtaining money from a bank or financial institution with the agreement to pay it back with interest at a later date called?
17. What are the factors which affect the method of finance chosen?
18. International source of fiannce is .....
19. A long-term external source of finance used to purchase land or buildings
20. What is a characteristic of debentures?
21. There's tax benefit in .....
22. Which source of finance does not incur interest?
23. What does the Consumer Prices Index (CPI) measure?
24. What is the term used for the money that a business has to pay back to its creditors?
25. Complete the following statements with appropriate word(s) in the blank spaces:8. Retained Earning is called .....
26. Finance is concerned with the following, except?
27. Which of the following is an external source of finance?
28. The financial requirements of an enterprise do not end with the procurement of fixed assets. No matter how small or large a business is, it needs funds for its day-to-day operations. This is known as ..... of an enterprise.
29. What is the formula for gross profit?
30. Which external source of business finance involves obtaining funds from suppliers or vendors without having to pay for the goods or services immediately?
31. Which of the following is an example of external finance for a limited company?
32. Which of the following may be preferred for avoiding dilution of control
33. The working capital of a business is given by
34. Retained earning refers to
35. 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 .....
36. This refers the funds invested by the company owners for its development, e.g., equity and preference share capitals and retained earnings.
37. Which is an example of Revenue expenditure
38. Which of the following is a typical trade credit term?
39. ABC ltd wants to issue huge amount of shares to raise its capital but the directors decided not to dilute the control to more people, which shares should they issue: