Discussion Forum : Sources Of Business Finance
Question -


Loans from commercial banks is a flexible source of finance.

Options:
A .   True
B .   False
C .   not important when determining dividends
D .   the cumulative earnings of the company after dividends
Answer: Option A
:
A

True. Loans from commercial banks is a flexible source of finance, as the loan amount can be increased according to business needs and can be repaid in advance when funds are not needed.



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