Business Finance addresses which of the following?
Correct answer: B. All of the given optionsAccounting & Auditing
- A. Capital budgeting
- B. All of the given optionsAccounting & Auditing
- C. Working capital management
- D. Capital structure
Explanation
Business finance covers decisions about long-term investment through capital budgeting, funding mix through capital structure, and day-to-day liquidity through working capital management. Therefore, all three areas are included.
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About Business Finance
Business finance explains how organisations plan, obtain and use money while balancing risk, return and liquidity. Topics include financial statements, time value of money, budgeting, working capital, capital structure, sources of finance, investment appraisal and cost of capital. Capital budgeting evaluates long-term projects, whereas working capital manages day-to-day operations.
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