Sources of Business Finance — Important Questions
Jammu & Kashmir Board · Class 11 · Business Studies
94 important questions from Sources of Business Finance for Jammu & Kashmir Board Class 11 Business Studies, with answers.
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Important Questions from Sources of Business Finance
What is factoring?
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A financial service for debt collection and credit control
Factoring involves selling receivables to a third party who manages credit control and debt collection.
What does 'lease financing' involve?
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Renting an asset for a specified period
Lease financing allows a business to use an asset by paying periodic rentals without owning it.
What is a commercial paper?
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An unsecured promissory note for short-term funds
Commercial paper is an unsecured instrument used by companies to raise short-term funds.
Which source of finance is considered the most permanent?
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Equity shares
Equity shares represent permanent capital that is repaid only during company liquidation.
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