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Business Englisch II (Subject) / sources of finance (Lesson)

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• key terms sources of finance external/internal sources current assets fixed assets shares share issue retained earnings inventory management capital expenditure revenue expenditure sale and leaseback joint venure
• business costs up front costs ongoing costs growth and expansion
• up front costs initial paperwork (filing, documents) physical capital (computers, buildings) utilities (water, power) human capital (staff, advice)
• ongoing costs buy more raw material settle other trading debts
• growth and expansion might mean larger premises more equipment extra workers
• capital expenditures money spent of purchasing fixed assets (buildings, machinery or vehicles) items may be used repeatedly adds on to the value of the company
• revenue expenditure money used to generate sales (stock purchases, wages, raw material, fuels) represent business expenses does not add to the value of the company

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