1 (a) Which one of the following is a short-term source of finance?
Select one answer - Edexcel - GCSE Business - Question 1 - 2019 - Paper 1
Question 1
1 (a) Which one of the following is a short-term source of finance?
Select one answer.
☐ A Retained profit
☐ B Share capital
☐ C Trade credit
☐ D Venture ca... show full transcript
Worked Solution & Example Answer:1 (a) Which one of the following is a short-term source of finance?
Select one answer - Edexcel - GCSE Business - Question 1 - 2019 - Paper 1
Step 1
Which one of the following is a short-term source of finance?
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Answer
The correct answer is C Trade credit. Trade credit allows a business to purchase goods and services with the agreement that payment will be made at a later date, making it a short-term financing option.
Step 2
Which one of the following is a definition of an exchange rate?
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Answer
An exchange rate is defined as the value of one currency for the purpose of conversion to another. It indicates how much of one currency you need to spend to purchase one unit of another currency.
