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Sources of Business Finance — Business Studies STD 11 Commerce — Question

CBSE BoardEnglish MediumSTD 11 CommerceBusiness StudiesSources of Business Finance4 Marks
Question
List sources of raising long-term and short-term finance.
✓

Answer

Sources of long Term Finance.
  1. Equity Shares.
  2. Retained earnings.
  3. Preference shares.
  4. Debentures.
  5. Loans from financial institutions.
  6. Loans from banks.
Sources of Medium Term Finance.
  1. Lease financing.
  2. Public deposits.
  3. Loans from financial institutions.
  4. Loans from banks.
Sources of Short Term Finance.
  1. Trade credit.
  2. Factoring.
  3. Short term loans from banks.
  4. Commercial papers.

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