Business Finance

Date: October 28, 2020

Activity-1

Q1- Answer the following questions: 5

1. How can a person establishes it’s claim on cash?.

2. Give any TWO examples of bear instruments.

3. What is difference between debt and equity instruments?.

4. Give TWO examples for each type.

5. What do you mean by derivative?.

Q2- What is difference between money and capital market?. Explain with
example from daily life. 4

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Q3- How you differentiate open markets from negotiate markets?. Explain with
examples from daily life. 4

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Q4 a)- List down the types of business organizations: 2

b)- Explain the difference between limited and unlimited liability with
their business applicability’s. 4
 Business Finance

c)- Explain the meaning of single and double taxation with their business
applicability’s. 4

Q5 a)- Primary goal of shareholders is wealth maximization, if the market

price of share decrease either the wealth of shareholders maximize or
minimize. Explain with logical reason. 2