2.3 The Economic Climate Of Business

Question 1

Overdraft

Answer 1

Flexible loans which business can use,whenever necessary,up to an agreed limit

Question 2

Consumer spending

Answer 2

Refers to the value of goods and services bought by consumers over a time period,usually a month or a year.

Question 3

Income elastic products

Answer 3

Are those whose sales are sensitive to changes in consumers’ incomes