Y12 Business Edexcel - 2.1 Raising Finance

Question 1

"If you fail to plan, you plan to fail" - helps us remember the purpose of what concept??

Accepted Answer

Business plan

Question 2

Which of these time frames represent a medium-term source of finance?

Accepted Answer

1-5 years

Question 3

Which one of these external sources of finance can be classified as a short term source?

Accepted Answer

Overdraft

Question 4

Cash inflows vs Cash outlfows - which of these IS NOT a cash outflow??

Accepted Answer

Receiving a bank loan

Question 5

What's the formula for Net Cash Flow??

Accepted Answer

Cash inflow - Cash outflow

Question 6

Internal sources vs external sources; which of these is an internal source of finance?

Accepted Answer

Retained profit

Question 7

Internal sources vs external sources; which of these is an external source of finance?

Accepted Answer

Crowdfunding

Question 8

Which of these are a criticism of a 'cash flow forecast'?

Accepted Answer

Only a prediction, which takes time and money

Question 9

There are 3 types of capital in business - which of these is not a category??

Accepted Answer

Day-to-day

Question 10

Difference between credit crunch and GFC - what is the credit crunch??

Accepted Answer

Banks are risk adverse, thus credit lines are difficult

Questions 10