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Business Studies

Capital Structure

The quantum o...

Question

The quantum of ________ assets as well as its break-up is an aspect affected by finance.

A

current

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B

non-current

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C

tangible

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D

intangible

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Solution

The correct option is A current
The above statement is used to describe the function of financial management. The quantum of current assets and its breakup into cash, inventory and receivables means financial management decisions regarding how much to invest in current assets and its breakup into cash, inventory i.e stock, debtors.

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