Question

Fill in the blanks with appropriate words in the following statements.
Business enterprise require two types of finance, they are __________ and ___________.

Answer 1

Business enterprise requires two types of finance which are:-

1. Long-term finance:- These are the finance which are contributed by the owners and long term creditors of the enterprise. Finance is also known as capital finance.

2. Short-term finance:- These are the finance which are generated from the outsiders to meet the day to day affairs of the business.