Statement of Financial Position (Cambridge (CIE) IGCSE Business): Exam Questions

Do you think having a high level of non-current liabilities is always a problem for a growing business? Justify your answer.

Consider how each of the following three factors from Tasty Tapas' Statement of Financial Position could affect the decision to expand into Country Y.

• Non-current assets of $800,000

• Current ratio of 1.33

• Long-term loan of $500,000

Which factor is likely to have the greatest impact on the expansion decision? Justify your answer.

Refer to the following insert (opens in a new tab)when answering the question