Appropriateness of sources of finance
Appropriateness of short- or long-term sources of finance for a given situation (AO3) Businesses match the type of finance with the purpose of use. For example, short-term finance such as a bank overdraft is suitable for funding day to day operations. By contrast, long-term finance such as a mortgage can be used to finance the purchase of premises. The appropriateness (suitability) of short- and long-term sources of...