The financial intermediaries offering savings plan to individuals and funds are exempted from taxation are considered as _____________?
Correct answer: C. pension funds
- A. trading funds
- B. penalty funds
- C. pension funds
- D. global funds
Explanation
Pension funds collect savings for retirement and commonly receive tax advantages or exemptions to encourage long-term retirement saving. Trading, penalty, and global funds do not fit this defining feature.
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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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