What is the primary purpose of a working capital loan?
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To purchase long-term assets
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To pay dividends
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To expand business infrastructure
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To finance daily operational needs
Which of the following is a short-term financing option for a business?
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Fixed deposit loan
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Working capital loan
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Vehicle loan
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Mortgage loan
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Home Loan
Which financial statement is most affected by a working capital loan?
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Income statement
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Cash flow statement
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Balance sheet
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Profit and loss account
What is the primary role of banks in the financial system?
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Provide financial advisory services
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Accept deposits and offer financial services
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Facilitate the transfer of goods and services
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Regulate the stock market
What is the role of central banks in the banking system?
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Issue currency and control monetary policy
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Provide loans to individuals and businesses
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Regulate and oversee banks
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Offer retail banking services
What type of card allows customers to make purchases on credit and repay the amount at a later date?
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Prepaid Card
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Credit Card
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Gold Card
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Debit Card
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ATM Card
Working capital loans are usually repaid within:
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3-6 months
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5-10 years
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10-20 years
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1-2 years
Which is NOT a factor for determining the working capital requirement of a business?
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Sales volume
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Production capacity
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Interest rates
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Business cycle
What is the primary purpose of a debit card?
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To transfer money between accounts
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To earn interest on savings
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To withdraw cash from ATMs
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To make purchases using available funds
The amount of a working capital loan is typically based on the company’s:
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Current liabilities and assets
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Long-term borrowing capacity
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Account Receivable
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Fixed asset value
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Projected sales
