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Question
Finance raised to operate a business is the : (a) labour (b) enterprise (c) land (d) capital
Finance raised to operate a business is the : (a) labour (b) enterprise (c) land (d) capital
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Solution
Finance raised to operate a business is the capital. Hence the right option is (d). Capital is a broad term for the financial assets of a business or an individual.When budgeting, businesses of all kinds typically focus on three types of capital: working capital, equity capital, and debt capital. A business in the financial industry identifies trading capital as a fourth component.
Finance raised to operate a business is the capital. Hence the right option is (d). Capital is a broad term for the financial assets of a business or an individual.When budgeting, businesses of all kinds typically focus on three types of capital: working capital, equity capital, and debt capital. A business in the financial industry identifies trading capital as a fourth component.
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