Sources of Finance , financial products & interest

Sources of finance are the different ways that businesses can raise finance

• True

• False

An Internal Source of finance is......

• is capital raised Outside a business.

• is capital raised inside a business.

Financial products are services offered by financial institutions to facilitate people’s

• savings

• borrowings

• investing

• All are correct

______ is the cost of borrowing and the reward for saving or investment. It is expressed as a percentage.

• Savings

• Interest

Ahmed has decided to start investing her money in a fixed deposit savings. Which of the following is best?

• 3% simple interest

• 3% compound interest

Shaikha wants to invest in a Shariah Law compliant offered by the UAE government

• National bonds

• Gold

Fatma wants to buy a house. She will pay back the money in 20 years. Which one is the best option ?

• Credit card

• Mortgage