Sources of Business Finance MCQs with answers
Dear candidates you will find MCQ questions of 11th Class - Business Studies | Chapter: Sources of Business Finance here. Learn these questions and prepare yourself for coming examinations. You can check the right answer of any question by clicking the option or by clicking view answer button.
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Q. Internal sources of capital are those that are
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Correct Answer: (D)
generated within the business
Q. Under the factoring arrangement, the factor
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Correct Answer: (C)
Collects the clientβs debt or account receivables
Q. Under the lease agreement, the lessee gets the right to
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Correct Answer: (C)
Use the asset for a specified period
Q. When one party grants the other party the right to use the asset in return for a periodic payment, it is known as __________
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Correct Answer: (A)
Lease Financing
Q. Money obtained by issue of shares is known as ___________
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Correct Answer: (B)
Share Capital
Q. _____________ was the first company in India to issue convertible zero interest debentures in January 1990
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Correct Answer: (A)
Mahindra and Mahindra
Q. The ordinary shares of a company are delivered to the depository bank, which in turn issues the depository receipts, known as _______
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Correct Answer: (C)
GDR
Q. Unit Trust of India was established by ___________
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Correct Answer: (C)
Indian Government
Q. Expand ICICI
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Correct Answer: (C)
Industrial Credit and Investment Corporation of India
Q. The maturity period of a commercial paper usually ranges from
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Correct Answer: (D)
90 to 364 days
Q. Public deposits are the deposits that are raised directly from
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Correct Answer: (A)
The public
Q. Funds required for purchasing current assets is an example of
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Correct Answer: (C)
Working capital requirement
Q. Investors who want steady income may not prefer ____________
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Correct Answer: (B)
Equity Shares
Q. Funds raised through loans or borrowings are ________
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Correct Answer: (A)
Borrowed funds
Q. State Industrial Development Corporations were established by _______
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Correct Answer: (C)
Different States
Q. Industrial Finance Corporation of India (IFCI) was established in _______
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Correct Answer: (A)
July, 1948
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