Day: February 17, 2025

Accounting Multiple Choice Question – 17 February 2025

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

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Which of the following is a source of long-term finance?

Select ONE answer:

  1. Trade credit from suppliers
  2. Bank overdraft
  3. Factoring of trade debts
  4. Mortgage on property

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

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

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 4

  1. Not correct
  2. Not correct
  3. Not correct
  4. Correct == > A mortgage on property is generally for a term longer than five years, and this is therefore a long-term source of finance.

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