• NCERT Solutions
    • NCERT Library
  • RD Sharma
    • RD Sharma Class 12 Solutions
    • RD Sharma Class 11 Solutions Free PDF Download
    • RD Sharma Class 10 Solutions
    • RD Sharma Class 9 Solutions
    • RD Sharma Class 8 Solutions
    • RD Sharma Class 7 Solutions
    • RD Sharma Class 6 Solutions
  • Class 12
    • Class 12 Science
      • NCERT Solutions for Class 12 Maths
      • NCERT Solutions for Class 12 Physics
      • NCERT Solutions for Class 12 Chemistry
      • NCERT Solutions for Class 12 Biology
      • NCERT Solutions for Class 12 Economics
      • NCERT Solutions for Class 12 Computer Science (Python)
      • NCERT Solutions for Class 12 Computer Science (C++)
      • NCERT Solutions for Class 12 English
      • NCERT Solutions for Class 12 Hindi
    • Class 12 Commerce
      • NCERT Solutions for Class 12 Maths
      • NCERT Solutions for Class 12 Business Studies
      • NCERT Solutions for Class 12 Accountancy
      • NCERT Solutions for Class 12 Micro Economics
      • NCERT Solutions for Class 12 Macro Economics
      • NCERT Solutions for Class 12 Entrepreneurship
    • Class 12 Humanities
      • NCERT Solutions for Class 12 History
      • NCERT Solutions for Class 12 Political Science
      • NCERT Solutions for Class 12 Economics
      • NCERT Solutions for Class 12 Sociology
      • NCERT Solutions for Class 12 Psychology
  • Class 11
    • Class 11 Science
      • NCERT Solutions for Class 11 Maths
      • NCERT Solutions for Class 11 Physics
      • NCERT Solutions for Class 11 Chemistry
      • NCERT Solutions for Class 11 Biology
      • NCERT Solutions for Class 11 Economics
      • NCERT Solutions for Class 11 Computer Science (Python)
      • NCERT Solutions for Class 11 English
      • NCERT Solutions for Class 11 Hindi
    • Class 11 Commerce
      • NCERT Solutions for Class 11 Maths
      • NCERT Solutions for Class 11 Business Studies
      • NCERT Solutions for Class 11 Accountancy
      • NCERT Solutions for Class 11 Economics
      • NCERT Solutions for Class 11 Entrepreneurship
    • Class 11 Humanities
      • NCERT Solutions for Class 11 Psychology
      • NCERT Solutions for Class 11 Political Science
      • NCERT Solutions for Class 11 Economics
      • NCERT Solutions for Class 11 Indian Economic Development
  • Class 10
    • NCERT Solutions for Class 10 Maths
    • NCERT Solutions for Class 10 Science
    • NCERT Solutions for Class 10 Social Science
    • NCERT Solutions for Class 10 English
    • NCERT Solutions For Class 10 Hindi Sanchayan
    • NCERT Solutions For Class 10 Hindi Sparsh
    • NCERT Solutions For Class 10 Hindi Kshitiz
    • NCERT Solutions For Class 10 Hindi Kritika
    • NCERT Solutions for Class 10 Sanskrit
    • NCERT Solutions for Class 10 Foundation of Information Technology
  • Class 9
    • NCERT Solutions for Class 9 Maths
    • NCERT Solutions for Class 9 Science
    • NCERT Solutions for Class 9 Social Science
    • NCERT Solutions for Class 9 English
    • NCERT Solutions for Class 9 Hindi
    • NCERT Solutions for Class 9 Sanskrit
    • NCERT Solutions for Class 9 Foundation of IT
  • CBSE Sample Papers
    • Previous Year Question Papers
    • CBSE Topper Answer Sheet
    • CBSE Sample Papers for Class 12
    • CBSE Sample Papers for Class 11
    • CBSE Sample Papers for Class 10
    • CBSE Sample Papers for Class 9
    • CBSE Sample Papers Class 8
    • CBSE Sample Papers Class 7
    • CBSE Sample Papers Class 6
  • Textbook Solutions
    • Lakhmir Singh
    • Lakhmir Singh Class 10 Physics
    • Lakhmir Singh Class 10 Chemistry
    • Lakhmir Singh Class 10 Biology
    • Lakhmir Singh Class 9 Physics
    • Lakhmir Singh Class 9 Chemistry
    • PS Verma and VK Agarwal Biology Class 9 Solutions
    • Lakhmir Singh Science Class 8 Solutions

Learn CBSE

NCERT Solutions for Class 6, 7, 8, 9, 10, 11 and 12

Sources of Business Finance – CBSE Notes for Class 11 Business Studies

March 6, 2017 by Sastry CBSE

Sources of Business Finance –  CBSE Notes for Class 11 Business Studies

Concept, Nature and Significance of Business Finance

Quick Review—
-> Introduction
Every business enterprise, weather big or small, needs financed carry on its operation. The importance of finance increased tremendously these days because of mass production and use of capital intensive techniques. As a result finance is considered as the life-blood of any business.
-> Nature And Significance Of Business Finance :
Business Finance Refers to the Money required for carrying out business activities.
-> Need For Business Finance :
All business activities require some finance. Finance is needed :
• Start and establish a business.
• To run day to day activities of business like payment for raw materials, salaries etc.
• To modernize, expand and diversify the business.
Hence the availability of adequate finance is very crucial for the survival and growth of a business.
-> The financial needs of a business can be classified into two categories :
1. Fixed capital requirement 2. Working capital requirement

Know the Terms—

-> Finance : Funds or capital required to meet the needs of an organisation.
-> Business Finance : Is concerned with the acquisition and utilisation of funds in meeting the financial needs and overall objectives of a business enterprise.
-> Fixed Capital: The capital required for long-term investment in fixed assets of a business.
-> Working Capital: The capital which is required to hold current assets and to meet its day-to-day expenditure.
-> Owners fund : Funds that are provided by the owners of the enterprise and remain invested in the business for a longer duration till the business continue to exist.
-> Borrowed Fund: Fund raised through loans and borrowings for a specified period, on a fixed rate of interest.
-> Financial Risk: The possibility of a firms, inability to pay the interest and to refund the borrowed amount.

CBSE NotesCBSE Notes Business StudiesNCERT Solutions Business Studies

Filed Under: CBSE

LearnCBSE Sample Papers
  • Words by Length
  • NEET MCQ
  • Factoring Calculator
  • Rational Numbers
  • CGPA Calculator
  • TOP Universities in India
  • TOP Engineering Colleges in India
  • TOP Pharmacy Colleges in India
  • Coding for Kids
  • Math Riddles for Kids with Answers
  • General Knowledge for Kids
  • General Knowledge
  • Scholarships for Students
  • NSP - National Scholarip Portal
  • Class 12 Maths NCERT Solutions
  • Class 11 Maths NCERT Solutions
  • NCERT Solutions for Class 10 Maths
  • NCERT Solutions for Class 9 Maths
  • NCERT Solutions for Class 8 Maths
  • NCERT Solutions for Class 7 Maths
  • NCERT Solutions for Class 6 Maths
  • NCERT Solutions for Class 6 Science
  • NCERT Solutions for Class 7 Science
  • NCERT Solutions for Class 8 Science
  • NCERT Solutions for Class 9 Science
  • NCERT Solutions for Class 10 Science
  • NCERT Solutions for Class 11 Physics
  • NCERT Solutions for Class 11 Chemistry
  • NCERT Solutions for Class 12 Physics
  • NCERT Solutions for Class 12 Chemistry
  • NCERT Solutions for Class 10 Science Chapter 1
  • NCERT Solutions for Class 10 Science Chapter 2
  • Metals and Nonmetals Class 10
  • carbon and its compounds class 10
  • Periodic Classification of Elements Class 10
  • Life Process Class 10
  • NCERT Solutions for Class 10 Science Chapter 7
  • NCERT Solutions for Class 10 Science Chapter 8
  • NCERT Solutions for Class 10 Science Chapter 9
  • NCERT Solutions for Class 10 Science Chapter 10
  • NCERT Solutions for Class 10 Science Chapter 11
  • NCERT Solutions for Class 10 Science Chapter 12
  • NCERT Solutions for Class 10 Science Chapter 13
  • NCERT Solutions for Class 10 Science Chapter 14
  • NCERT Solutions for Class 10 Science Chapter 15
  • NCERT Solutions for Class 10 Science Chapter 16

Free Resources

RD Sharma Class 12 Solutions RD Sharma Class 11
RD Sharma Class 10 RD Sharma Class 9
RD Sharma Class 8 RD Sharma Class 7
CBSE Previous Year Question Papers Class 12 CBSE Previous Year Question Papers Class 10
NCERT Books Maths Formulas
CBSE Sample Papers Vedic Maths
NCERT Library

 

NCERT Solutions

NCERT Solutions for Class 10
NCERT Solutions for Class 9
NCERT Solutions for Class 8
NCERT Solutions for Class 7
NCERT Solutions for Class 6
NCERT Solutions for Class 5
NCERT Solutions for Class 4
NCERT Solutions for Class 3
NCERT Solutions for Class 2
NCERT Solutions for Class 1

Quick Resources

English Grammar Hindi Grammar
Textbook Solutions Maths NCERT Solutions
Science NCERT Solutions Social Science NCERT Solutions
English Solutions Hindi NCERT Solutions
NCERT Exemplar Problems Engineering Entrance Exams
Like us on Facebook Follow us on Twitter
Watch Youtube Videos NCERT Solutions App