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

Business finance: needs and sources — practice question

(a)[8]

Identify and explain one benefit and one drawback of leasing all the equipment used in the business. Benefit. Explanation. Drawback. Explanation.

(b)[12]

Assess how each of the following three changes will influence VG. Which one will have the largest effect on the business? Justify your answer. A multinational chain of luxury gyms has recently opened in country X. The share of elderly people in the population has risen. Interest rates have increased. Conclusion.

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: The business does not need to raise a large amount of cash to buy the equipment

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