4.1 Choose a term from COLUMN B that matches the description in COLUMN A. Write only the letter (A–D) next to the question number (4.1.1–4.1.4) in the ANSWER BOOK, for example 4.1.5 E. COLUMN A COLUMN B 4.1.1 Ability of the business to pay off all A gearing of its debts 4.1.2 Ability of the business to pay off its B return on equity short-term debts 4.1.3 The benefit that shareholders receive C solvency for investing in the company 4.1.4 The extent to which a company is D liquidity financed by loans (4 x 1)

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4.1 Choose a term from COLUMN B that matches the description in COLUMN A - English General - NSC Accounting - Question 4 - 2016 - Paper 1

Question 4

4.1 Choose a term from COLUMN B that matches the description in COLUMN A. Write only the letter (A–D) next to the question number (4.1.1–4.1.4) in the ANSWER BOOK, ... show full transcript

Worked Solution & Example Answer:4.1 Choose a term from COLUMN B that matches the description in COLUMN A - English General - NSC Accounting - Question 4 - 2016 - Paper 1

Step 1

4.1.1 Ability of the business to pay off all of its debts

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Answer

C

Step 2

4.1.2 Ability of the business to pay off its short-term debts

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Answer

D

Step 3

4.1.3 The benefit that shareholders receive for investing in the company

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Answer

B

Step 4

4.1.4 The extent to which a company is financed by loans

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Answer

A

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Questions answered

4.1 Choose a term from COLUMN B that matches the description in COLUMN A - English General - NSC Accounting - Question 4 - 2016 - Paper 1

Worked Solution & Example Answer:4.1 Choose a term from COLUMN B that matches the description in COLUMN A - English General - NSC Accounting - Question 4 - 2016 - Paper 1

4.1.1 Ability of the business to pay off all of its debts

4.1.2 Ability of the business to pay off its short-term debts

4.1.3 The benefit that shareholders receive for investing in the company

4.1.4 The extent to which a company is financed by loans

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