Finance Sources Quiz

Which of the following is NOT a main source of finance mentioned in the lesson objectives?

• Family and friends

• Retained profit

• Stock market investment

• Government grants

What should students be able to analyze according to the lesson objectives?

• The advantages and disadvantages of each method for a given situation

• The historical development of financial sources

• The economic impact of financial sources on the global market

• The legal implications of financial sources

What is the focus of the evaluation in the lesson objectives?

• The suitability of sources of finance for new and established businesses

• The profitability of new and established businesses

• The marketing strategies for new and established businesses

• The customer service approaches for new and established businesses

What is finance?

• The management of small amounts of money in business.

• The management of large amounts of money in business.

• The process of borrowing money from banks.

• The study of human resources in organizations.

Which of the following is NOT a method businesses use to raise finance according to the AQA specification?

• Issuing bonds

• Family and friends

• Trade credit

• Government grants

What is a common method for businesses to raise finance that involves borrowing against the value of a property?

• Retained profit

• A new share issue

• Obtaining a loan or mortgage

• Overdrafts

Which method of raising finance involves a business using money that it has saved from its profits?

• Selling unwanted assets

• Retained profit

• Hire purchase

• Family and friends

What type of finance is provided by the government to support businesses?

• Overdrafts

• Trade credit

• Hire purchase

• Government grants

What is one method an entrepreneur may use to finance a business start-up?

• Taking a government grant

• Asking friends and family

• Winning a lottery

• Selling personal belongings

Why might an established business ask friends and family for finance?

• To pay off debts

• To downsize the company

• To grow and expand

• To cover operational losses