Business 7115 · O Level · Business finance: needs and sources

Business finance: needs and sources — practice question

(a)[8]

Identify and explain one reason TT will need short-term finance and one reason TT will need long-term finance.

(b)[12]

Use Appendix 3 together with the other information in the case study. Assess TT’s financial performance. Do you think the directors ought to be satisfied with the company’s performance? Support your answer with appropriate ratios.

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: Working capital / meet day-to-day expenses / cover wage costs

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