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Edexcel IGCSE Business Studies 3.2.1 importance of cash

Practise cash-importance questions by linking cash to payments, insolvency risk and the difference between profit and available money.

Syllabus
First assessment 2019
Course
Business Studies 4BS1

Exam points

  • Explain why paying suppliers, wages or overheads on time matters in a case business.
  • Link poor cash flow to insolvency risk even when a business may report profit.
  • Interpret actions such as delaying payments, borrowing or reducing costs to protect cash.

3.2.1 Importance of cash to a business question 1

[Maximum number: 2]

Outline one reason why cash might be important to Artify Studio.

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