Practice Factors Affecting Choice of Finance - 8 | Chapter 3: Business Size and Finance | ICSE Class 12 Business Studies
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Practice Questions

Test your understanding with targeted questions related to the topic.

Question 1

Easy

What does 'time period' refer to in finance?

πŸ’‘ Hint: Think about immediate versus future needs.

Question 2

Easy

What is equity financing?

πŸ’‘ Hint: Consider ownership implications.

Practice 4 more questions and get performance evaluation

Interactive Quizzes

Engage in quick quizzes to reinforce what you've learned and check your comprehension.

Question 1

What is the main factor influencing the time period needed for financing?

  • Short-term needs
  • Long-term investments
  • Interest rates

πŸ’‘ Hint: Think about the immediacy of need.

Question 2

True or False: Control over a business can be affected by taking equity financing.

  • True
  • False

πŸ’‘ Hint: Consider what happens to ownership with equity.

Solve 1 more question and get performance evaluation

Challenge Problems

Push your limits with challenges.

Question 1

You are a finance manager in a new tech startup. Your projected operating costs for the next year are Rs. 12 lakhs, and you need Rs. 5 lakhs for immediate equipment purchase. What types of financing should you consider given your short-term and long-term needs?

πŸ’‘ Hint: Think about rapid access and future security.

Question 2

An established company is considering taking on additional debt for expansion. Discuss the factors they should evaluate before making a decision.

πŸ’‘ Hint: Weigh current versus potential future benefits.

Challenge and get performance evaluation