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From course:

GCSE Business 2020-2022 OCR

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Question:

How can Finding new Sources of Finance be used to Solve a Cash Flow Problem? Is there any Issues with doing so?

Author: eric_galvao



Answer:

A: Selling Shares can be used to gain a Permanent Source of Revenue A: Bank Loans are obviously Huge Injections of Cash A: Sale of Assets will also provide More Cash, that doesn't even need to be Paid Back! D: Selling Shares may Interfere with the Control over the Business D: Bank Loans has Interest attached to it D: Selling Assets will almost Never give you a Profit against how much it was Purchased for Originally


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