TB p. 83--Raising Finance exercises A&B

TB p. 83--Raising Finance exercises A&B

9th - 10th Grade

18 Qs

quiz-placeholder

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TB p. 83--Raising Finance exercises A&B

TB p. 83--Raising Finance exercises A&B

Assessment

Quiz

English

9th - 10th Grade

Medium

Created by

adam schulman

Used 1+ times

FREE Resource

18 questions

Show all answers

1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Customers not paying on time often leads to ___________ problems

equity

cashflow

asset

Answer explanation

Cash flow is the net cash and cash equivalents transferred in and out of a company. IF people don't pay their debts the company doesn't have cash for other things.

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Our state-of-the art machinery is our major ________.

possession

asset

equity

Answer explanation

An asset is a resource with economic value that an individual, corporation, or country owns or controls with the expectation that it will provide a future benefit.

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

The______ rate on the loan was 12%.

fee

charge

interest

Answer explanation

interest is the price you pay to borrow money

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

They could not pay their debts and faced ___________.

bankruptcy

warranty

overpayment

Answer explanation

completely lacking in money

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Sorbat has gone into ______ with debts of about $20 million.

indemnity

investment

administration

Answer explanation

indemnity is a type of insurance compensation paid for loss or damages.

6.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

The finance a company raises from issuing shares rather than taking out loans is known as ________ capital.

equity

dividend

stock

Answer explanation

equity capital is something that a company owns that is not tied to debt. This type of capital often involves investor money entering the company in exchange for shares.

7.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

The _________ is the original amount of a loan not including any interest charged

instalment

principal

subsidy

Answer explanation

The principal refers to the borrowed initial sum. So, if you were to take out a start-up loan for $75,000 and pay off $25,000, you would have $50,000 of the principal left to repay. You would also still need to pay off any interest that you owe on the borrowed money.

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