← all questions · Business · 9609 · Paper 2 variant 2

1(b)(ii)3 marks

Office Furniture Designs (OFD)

Markus is setting up OFD, a new private limited company, with limited start-up funds. He plans to offer all customers one month trade credit. However, as OFD is a new business, suppliers may insist on payment on delivery. Markus is currently researching sources of finance to improve OFD's cash flow.

Explain one factor that will influence Markus' choice of a source of finance.

9609/22/M/J/23Cambridge International AS & A Level Business 9609 · May/June 2023 · Paper 2 variant 2 · Question 1(b)(ii)

Your answer

Suggested time: 5 min