Understanding Business Funding (Grade 11 NSC Matric Business Studies): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
What fundamental principle about business is highlighted in the note?
What fundamental principle about business is highlighted in the note?
You need money to make money
Which expense represents the initial investment needed to get a business off the ground?
Which expense represents the initial investment needed to get a business off the ground?
Start-up costs
How does interest work with a bank overdraft?
How does interest work with a bank overdraft?
Interest only on amount & period overdrawn
How long do suppliers typically give businesses to settle trade credit debts?
How long do suppliers typically give businesses to settle trade credit debts?
One to three months
What advantage comes from owners having more equity capital in their business?
What advantage comes from owners having more equity capital in their business?
Greater control over decisions
What is a key advantage of government grants compared to other funding sources?
What is a key advantage of government grants compared to other funding sources?
Typically don't need to be repaid
What determines a business's solvency?
What determines a business's solvency?
Ratio between equity & debt capital
What do venture capitalists typically receive in exchange for funding start-ups?
What do venture capitalists typically receive in exchange for funding start-ups?
A share of ownership in the company
Which funding options are only available to companies, not sole traders or partnerships?
Which funding options are only available to companies, not sole traders or partnerships?
Shares & debentures
Which funding option best suits short-term needs like paying suppliers whilst awaiting payments?
Which funding option best suits short-term needs like paying suppliers whilst awaiting payments?
Bank overdraft