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Sources Of Business Finance

Question

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Which is not the merit of borrowed fund ?
No interference
Interest on this fund is treated as the expense.
Companies are required to other adequate securities for raising this type of fund.
This fund has the element of flexibility.

Solution

C.

Companies are required to other adequate securities for raising this type of fund.

Some More Questions From Sources of Business Finance Chapter

Give meaning of working capital.

Give types of working capital.

Give meaning of owner’s capital.

Give meaning of borrowed capital.

Give meaning of long-term finance.

Give meaning of medium-term finance.

Give meaning of short-term finance.

Define shares.

Give the types of shares.

Define preference shares.

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