BACHELOR OF BUSINESS ADMINISTRATION

BUSINESS ADMINISTRATION

FINANCIAL MANAGEMENT

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Money supplied by investors, banks, or owners of business
A
capital
B
investment
C
budget
D
property
Explanation: 

Detailed explanation-1: -Capital is money supplied by investors, banks, or owners of a business. Start-up capital is the money used to pay for the various assets and expenses of a new venture or business.

Detailed explanation-2: -Capital. Amount invested by the owner in the business is called as capital.

Detailed explanation-3: -Banks lend money to households and firms. They fund these lending activities through a combination of capital (equity) and debt. Capital and debt form the liability side of a bank’s balance sheet: Capital is a bank’s own funds-it is the most stable funding source.

Detailed explanation-4: -Capital in business refers to the sum of financial assets that are required to produce goods or services. These funds can be used to initiate operations, meet daily expenses or grow and expand the business.

Detailed explanation-5: -The three main sources of capital for a business are equity capital, debt capital, and retained earnings. Equity capital is where a company raises money by selling off a percentage of the business in the form of shares which are purchased and owned by shareholders.

There is 1 question to complete.