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</center><p>A business in difficulty NCERT Solutions for ClassBusiness Studies ChapterSources of Business Finance includes all the questions provided in NCERT Books for ClassBusiness  LEARNING OBJECTIVES. Starting up a business (Start-up Capital) Expanding an existing business. For example, processing businesses are usually capital intensive, requiring large amounts of capital. exceeding Debt interest is also corporation tax deductible (unlike equity dividends) making it even cheaper to a taxpaying company. Retail businesses usually require less capital. The current capital gearing of the business The financial needs of a business will vary according to the type and size of the business. businesses are basically financed from two sources: Use of owners' funds-such funds are normally permanently invested in the business, only to be repaid if business  CHAPTERSources of Finance. WHY DO BUSINESSES NEED FINANCE? Chapterindd/2 categorized into three parts; long-term sources, medium term sources as well as short-term. Debt and equity are the two major sources of financing. Government grants to finance certain aspects of Internal so urces of finance are used by the business organization usually. After studying this chapter, you should be able to: state the meaning, nature and importance of business finance; classify the various sources of  According to Statistics Finland, the population was approximately million, and the average number of employed persons agedtowas 2,, in The state the meaning, nature and importance of business finance; classify the various sources of business finance; evaluate merits and limitations of various sources of finance; identify the international sources of finance; and examine the factors that affect the choice of an appropriate source of finance. sources. when it requires funds for short time. Arrangement costs are usually lower on debt finance than equity finance and once again, unlike equity arrangement costs, they are also tax deductible. Here, the choice of funds would depend upon the availability of fund in a The long term source fulfils the financial requirement of a busi ness for a period.</p></translate>
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