Some of the most important components of cashflow

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1. Three (3) of the following are some of the most important components of Cashflow. Which one is not?

(a) Stock (b) Trade creditors (c) Fixed assets (d) Trade debtors

2. Most entrepreneurs have this characteristic in common:

(a) External locus of control (b) Avoidance of risk (c) Extreme self-confidence (d) Passion for the business

 

3. Which of the following is incorrect?

(a) The type of finance sought by a new small business will be contingent on the particular trading form of the business concerned

(b) The ratio of debt to equity finance is called gearing

(c) A highly geared firm will have a low ratio of debt to equity

(d) The permanent capital base of a small firm usually comes from some of equity investment

(e) Investment in equity is rewarded by dividends from profits or a capital gain when shares are sold.

Reference no: EM131470996

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