(a)[8]
Explain, with an example, one reason why VP may need: • short-term finance • long-term finance.
(b)[12]
Using Appendix 3 and the other information, assess how each of the following three changes in country Z may influence VP. Which change is likely to have the largest effect on VP’s profits? Justify your answer. • A rise in interest rates. • A depreciation in country Z’s exchange rate. • Fresh legal controls requiring every restaurant to list the ingredients in its meals.