Which of the following is a disadvantage to a company of using a factor for its accounts receivable()
A It is easier to finance growth through sales
B Managers spend less time on slow paying accounts receivable
C Credit customers pay direct to the factor
D It is easier to pay suppliers promptly to obtain discounts
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1 Which of the following is the most likely to be a symptom of overtrading()
A Static levels of inventory turnover
B Rapid increase in profits
C Increase in the level of the current ratio
D Rapid increase in sales
Which of the following is not a financial intermediary()
A. unit trust companies
B. investment trusts
C. venture capital organisations
D. The answers above are all wrong
Which of the following are examples of financial objectives that a company might choose to pursue()
A. Provision of good wages and salaries
B. Restricting the level of gearing to below a specified target level
C. Dealing honestly and fairly with customers on all occasions
D. Producing environmentally friendly products
The start of American entrepreneurship dates back to_()
A. settlers engaging in trade and barter with Native Americans
B. westward expansion and the creation of the railroad
C. the flourishing of entrepreneurship after the American Civil War
D. the flourishing of entrepreneurship during the early Period of America