Definitions 7

Question 0

Capital gain

Answer 0

The profit made from selling a share for more than it was bought

Question 1

Capital expenditure

Answer 1

Spending on business resources which can be used repeatedly over a period of time

Question 2

Equities

Answer 2

Another name for an ordinary share

Question 3

Gearing

Answer 3

The relationship between funds raised from loans and from issuing shares

Question 4

Issuing house

Answer 4

Any institution that deals with the sales of new shares

Question 5

Issued share capital

Answer 5

Amount of current share capital arising from the sale of shares

Question 6

Lease

Answer 6

A contract to acquire the use of resources such as property or equipment

Question 7

Permanent capital

Answer 7

Share capitals which is never repaid by the company

Question 8

Revenue expenditure

Answer 8

Spending on business resources that have already been consumed or will be very shortly

Question 9

Sale and leaseback

Answer 9

The practice of selling assets, such as property or machinery, and leasing them back from the buyer