Business Studies Multiple Choice Question – 24 February 2019

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

Business Studies

Which ONE of the following is an advantage to a business of using venture capital?

Select ONE answer:

  1. It decreases access to additional finance
  2. The business would not have to produce a business plan
  3. The business can benefit from expert advice
  4. The business will pay a lower rate of Corporation Tax

 

Show the workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Business Studies KS4 & KS3 classes

The answer is 3:

  1. It decreases access to additional finance – is not correct because other sources of finance are available.
  2. The business would not have to produce a business plan – is not correct because any provider of finance would require a business plan.
  3. The business can benefit from expert advice – is correct because venture capitalists do give an opportunity for additional help and support to a business.
  4. The business will pay a lower rate of corporation tax – this is incorrect because taxation is not determined by the source of finance.

 

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Author: stuart001uk2014

Referral marketing, business, economics and accounting s​pecialist & corporate mentor

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