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Business Paper 2- Solving Doubts Now :)

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Roselian

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My main problem is allocating time during the exam-the info is in my head, but I spend way too much time puzzling over how to answer.

Do you think it's better if I just jot down the points then make sure I do an explanation worth level 2 for each one? I mean I tend to start going on forever...
 
SB29597

SB29597

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Roselian said:
My main problem is allocating time during the exam-the info is in my head, but I spend way too much time puzzling over how to answer.

Do you think it's better if I just jot down the points then make sure I do an explanation worth level 2 for each one? I mean I tend to start going on forever...
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ask for a rough sheet and just jot down whatever comes to you then but dont waste a lot of time on it and keep re-reading the question. because i do that somethimes and it turns out i've written everything appart from what was asked xD
SO, FOCUS :D
 
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Fatima18

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RaneemI said:
Way what we should say why cause we have already mentioned the adv & disadv while explaing both , then what would be in the recommendation ??
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This means that you have to choose whether the best method of finance would be retained profit or selling shared, however, you need to support it with a strong evidence
Eg:The directors should not convert it to a plc due to the threat of takeover and the fact that Chocolate Delight will not be able to have a lot of privacy since accounts will be published.Hence, it should remain as a private limited company and use its retained profit.If the amount isn't enough, loans can also be borrowed from the bank.
 
jaida al hinai

jaida al hinai

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RaneemI said:
Q1b
The recommendation & why
Its a bit confusing
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RECOMMENDATION:the business should use retained profit if it has enough of profit,but many small business find that their profits are too low for the expansion of the business.however,in the issue of shares, dividends would be payed to the shareholders,but this would be a permanent source of capital,which which would not be re-payed to the shareholders.;)
 
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Fatima18

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jaida al hinai said:
RECOMMENDATION:the business should use retained profit if it has enough of profit,but many small business find that their profits are too low for the expansion of the business.however,in the issue of shares, dividends would be payed to the shareholders,but this would be a permanent source of capital,which which would not be re-payed to the shareholders.;)
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These are the advatages and disdvantages of both sources , isn't it??Are these accepted? :D
 
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Fatima18

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SB29597 said:
OF course! what else will you write?!
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That is why it was a question.Why do you become so reprimanding...I asked that to clear out my doubts.I thought since it is asking for a recommendation between the both, it would be best to choose one option and give a strong evidence on why.
 
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