IDIS 240 Test 2 Evans F2019 Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: When would you get extended dating?
Answer:
Have good credit Slow moving inventory New items Seasonal items sold out of
season
Q: What do you need when starting a business?
Answer:
-People Location Equipment Working Capital (Inventory, Receivables. cash)
Q: Where do you get the necessary things to start a business?
Answer:
Bank? Private Investors? Supplier?
Q: Debt financing
Answer:
Borrowing a fixed sum from a lender which is paid back with interest.
, IDIS 240 Test 2 Evans F2019 Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Equity financing
Answer:
Sale of a percentage of the business to an investor.
Q: Interest
Answer:
Fee charged for the use of money over a period of time
Q: Simple interest formula
Answer:
I = P (principle) x R (rate) x T (Time)
Q: Compound Interest
Answer:
interest calculated on the initial principal, which also includes all of the
accumulated interest of previous periods of a deposit or loan. (Interest on interest)
, IDIS 240 Test 2 Evans F2019 Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Revolving Loan
Answer:
Arrangement which allows for the loan amount to be withdrawn, repaid, and
redrawn again in any manner and any number of times, until the arrangement
expires. (Ex.
Credit Card)
Q: 10 reasons why you need a strong business plan
Answer:
1. To attract investors.
2. To see if your business ideas will work.
3. To outline each area of the business.
4. To set up milestones.
5. To learn about the market.
6. To secure additional funding or loans.
7. To determine your financial needs.
8. To attract top-level people.
9. To monitor your business.
10. To devise contingency plans.
Solutions | Latest 2026 Update
Q: When would you get extended dating?
Answer:
Have good credit Slow moving inventory New items Seasonal items sold out of
season
Q: What do you need when starting a business?
Answer:
-People Location Equipment Working Capital (Inventory, Receivables. cash)
Q: Where do you get the necessary things to start a business?
Answer:
Bank? Private Investors? Supplier?
Q: Debt financing
Answer:
Borrowing a fixed sum from a lender which is paid back with interest.
, IDIS 240 Test 2 Evans F2019 Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Equity financing
Answer:
Sale of a percentage of the business to an investor.
Q: Interest
Answer:
Fee charged for the use of money over a period of time
Q: Simple interest formula
Answer:
I = P (principle) x R (rate) x T (Time)
Q: Compound Interest
Answer:
interest calculated on the initial principal, which also includes all of the
accumulated interest of previous periods of a deposit or loan. (Interest on interest)
, IDIS 240 Test 2 Evans F2019 Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Revolving Loan
Answer:
Arrangement which allows for the loan amount to be withdrawn, repaid, and
redrawn again in any manner and any number of times, until the arrangement
expires. (Ex.
Credit Card)
Q: 10 reasons why you need a strong business plan
Answer:
1. To attract investors.
2. To see if your business ideas will work.
3. To outline each area of the business.
4. To set up milestones.
5. To learn about the market.
6. To secure additional funding or loans.
7. To determine your financial needs.
8. To attract top-level people.
9. To monitor your business.
10. To devise contingency plans.
