Business Studies Multiple Choice Question – 8 October 2019

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

Which ONE of the following could be the effect on small businesses if interest rates were to rise significantly?

 

Select ONE answer:

  1. Improved net cash flow
  2. Reduced consumer demand
  3. Fixed costs will fall
  4. Overdrafts will become cheaper

 

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 2 – the other answers would not be the impact of a significant rate rise.

 

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.