- 10 Marks
BCL – Apr 2022 – L1 – Q3b – Types of capital and the financing of companies
Suggest financing methods for AirQuick Ghana office and explain advantages and disadvantages of each method.
Question
b) AirQuick is one of the world’s leading aerospace companies. AirQuick and the Ghana Civil Aviation Authority have conducted a feasibility study in Ghana with the intent of setting up a subsidiary in Ghana. The study which ran for two years has been concluded and a new subsidiary office of AirQuick has just been established in Ghana to serve the West African hub. You have been given a two-year contract in the legal department.
Required:
i) As a business law expert, you have been asked to suggest TWO (2) ways to finance or sustain the activities of the AirQuick Ghana office. (6 marks)
ii) Explain ONE (1) advantage and ONE (1) disadvantage of each financing source identified in i) above. (4 marks)
Find Related Questions by Tags, levels, etc.
- Tags: Company Financing, Debentures, Loan Capital, Public-Private Partnerships, Share Capital
- Level: Level 1
- Topic: Types of capital and the financing of companies
- Series: APR 2022
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