Sources of Finance

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J V P B O P N G T E T N P T V U J P T G F
C B I Q U P W F B W X K T H J S S A Y Y R
O R D I N A R Y S H A R E C A P I T A L V
S L F D M P S L G H R I D H X S R P P T A
A U K S K P B J M W Q T N S H W T X I G O
L O V E R D R A F T W M G W M L Q D I L F
E X Q Y S L G E H Y H N W T S I E A T D D
S L V V D Q X V U U I H I K Q R N I B F V
O Y W T M Q I O S V I F X E C Q P G L S N
F M Y X R U S N A R O Y D E O A W J E V K
A J E K T M V S E R V D D N C H F R W T H
S Q Y B J C S P P V H A A E F L U G J Q F
S X I F G R U N I O R O R R O T R E T D B
E W L U E R I S E T L U L X N M J A L Y D
T V N N C A Q Q E K T L D E P W C A O I Q
S Q W H T J F G N N P I B B G Y C V C J D
D O A E H A J A E V G E Y C S I Y T P E P
X S R S I J B V B G D G E Q T N J H B J A
E X T W X X P C R A D O X U O L R M T U C
W L P U M H E I N M X B E N F A X M J N Y
P L J B R E E D T N J R H U I P Y D K Q H

Clues

  • A share in the business is old to an individual or another business. This money is then used to purchase new assets or to expand. The business then turns from a Ltd to a plc and shares can be traded on the stock market (8, 5, 7)
  • An amount of money is borrowed from the bank and then repaid with interest over a set period of time. (4, 4)
  • Long term borrowing which you repay the amount borrowed at a fixed period in time, usually used by large organisations (10)
  • Profit kept after all expenses and dividends are paid out. The profit can then be put back into the business for expansion of the business (6, 6)
  • The bank allows a business to go 'overdrawn' up to a certain amount. The business only pays interest on the amount overdrawn. The interest paid is usually higher than a bank loan. It is usually used to pay small bills and expenses (9)
  • They invest in small, risky businesses e.g. a new business or existing businesses which need investment (7, 6)
  • When a business sells off their fixed and current assets which is no longer needed for the business to make a profit (5, 2, 6)
  • When an asset is bought over a period of time with repayments made each month until it is paid off and belongs to the company (4, 8)
  • When suppliers give time to pay for supplies and stoke. This is usually within 30 days. (5, 6)
  • When the owner uses his/her savings to invest in the business (6, 7)

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