Unit 2- Finance 2 Flashcards
1
Q
2 sources of finance that are only available to limited firms
A
Shares
Debentures
2
Q
What is share capital
A
It’s the money put into the business when shares were originally issued.
3
Q
What does retained profit and reserves show
A
Shows all the profit that the firm has made over the years that it has decided to retain instead of paying in dividends.
4
Q
Why is a balance sheet useful for stakeholders
A
They can assess the financial health of a business
