(i) Borrowing from financial institutions in the form of loans, bank overdraft and mortgage.
(ii) Trade credit. Buying goods for re-sale on credit so as to pay at a later date.
(iii) Hire purchase. Buying goods and paying for them on installment basis.
(iv) Debentures. Borrowing from members of the public for which interest is paid at a fixed rate and over a predetermined period of time.
(v) Sale and leaseback. Selling an asset like a building and then hiring it back for a specified period of time.
(vi) Retained profits. Profits made are not shared out as dividends but ploughed back into the business.
(vii) Discounting bills of exchange. Receiving payment from financial institutions at a discount against bills of exchange before their maturity.
(viii) Use of reserves/ provisions. The company may make use of funds set aside for depreciation, tax and bad debts to finance its day to day operations.
lemass answered the question on February 14, 2019 at 16:08
-
Factors that may have caused a decline in the demand for Wooden furniture
(Solved)
Factors that may have caused a decline in the demand for Wooden furniture
Date posted:
February 14, 2019
.
Answers (1)
-
Identify and explain two possible reasons why a government might decide to keep the country's postal services to the public sector
(Solved)
Identify and explain two possible reasons why a government might decide to keep the country's postal services to the public sector.
Date posted:
February 13, 2019
.
Answers (1)
-
Explain four barriers to effective communication caused by the receiver.
(Solved)
Explain four barriers of effective communication caused by the receiver.
Date posted:
February 4, 2019
.
Answers (1)
-
Explain four principles of an effective office system.
(Solved)
Explain four principles of an effective office system.
Date posted:
February 4, 2019
.
Answers (1)
-
Explain five methods that the government may use to increase supply of goods in the market
(Solved)
Explain five methods that the government may use to increase supply of goods in the market.
Date posted:
January 15, 2019
.
Answers (1)
-
Describe five channels of distribution that a Kenyan manufacturer would use to ensure her goods reach consumers in another country
(Solved)
Describe five channels of distribution that a Kenyan manufacturer would use to ensure her goods reach consumers in another country.
Date posted:
January 15, 2019
.
Answers (1)
-
Explain five ways in which the internal environment may contribute to the success of a business enterprise
(Solved)
Explain five ways in which the internal environment may contribute to the success of a business enterprise.
Date posted:
January 15, 2019
.
Answers (1)
-
Mention four benefits of recycling waste production
(Solved)
Mention four benefits of recycling waste production
Date posted:
December 28, 2018
.
Answers (1)
-
Keith owned a motor vehicle valued at Sh.2,000,000.He comprehensively insured the car at Sh.1,200,000.The motor vehicle was involved in an accident and declared a write...
(Solved)
Keith owned a motor vehicle valued at Sh.2,000,000.He comprehensively insured the car at Sh.1,200,000.The motor vehicle was involved in an accident and declared a write off.Calculate the amount Keith should get from the insurer.
Date posted:
December 4, 2018
.
Answers (1)
-
Outline four circumstances under which goods may be transported by use of containers
(Solved)
Outline four circumstances under which goods may be transported by use of containers.
Date posted:
November 30, 2018
.
Answers (1)
-
Explain circumstances under which a manufacturer would use informative advertising
(Solved)
Explain circumstances under which a manufacturer would use informative advertising
Date posted:
November 20, 2018
.
Answers (1)
-
Discuss the role of marketing and relationship banking in Kenyan banks today
(Solved)
Discuss the role of marketing and relationship banking in Kenyan banks today.
Date posted:
November 18, 2018
.
Answers (1)
-
Describe any five theories of management and explain how they can be used by managers to improve on their organizations
(Solved)
Describe any five theories of management and explain how they can be used by managers to improve on their organizations.
Date posted:
November 9, 2018
.
Answers (1)
-
State the circumstances under which hire purchase may be used
(Solved)
State the circumstances under which hire purchase may be used.
Date posted:
November 8, 2018
.
Answers (1)
-
Managers are born not made. Discuss
(Solved)
Managers are born not made. Discuss
Date posted:
November 6, 2018
.
Answers (1)
-
Highlight 4 possible effects of a positive change in the consumers preference for a good
(Solved)
Highlight 4 possible effects of a positive change in the consumers preference for a good.
Date posted:
November 5, 2018
.
Answers (1)
-
State four reasons why direct production is common in Kenya
(Solved)
State four reasons why direct production is common in Kenya.
Date posted:
October 31, 2018
.
Answers (1)
-
Highlight 4 possible consequences arise due to poor arrangement of goods in a warehouse
(Solved)
Highlight 4 possible consequences arise due to poor arrangement of goods in a warehouse
Date posted:
October 29, 2018
.
Answers (1)
-
Mention four circumstances under which a firm can use competitive advertising
(Solved)
Mention four circumstances under which a firm can use competitive advertising.
Date posted:
October 27, 2018
.
Answers (1)
-
What are the characteristics of a visionary entrepreneur?
(Solved)
What are the characteristics of a visionary entrepreneur?
Date posted:
October 7, 2018
.
Answers (1)