Topic 3 | Finance
Sub topic 2: Influences on financial management
Lesson 1 | Internal and external sources of finance
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internal sources of finance – retained profits
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external sources of finance
– debt – short-term borrowing (overdraft, commercial bills, factoring), long-term borrowing (mortgage, debentures, unsecured notes, leasing)
– equity – ordinary shares (new issues, rights issues, placements, share purchase plans), private equity
Lesson 2 | Financial institutions, government and global market influences
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financial institutions – banks, investment banks, finance companies, superannuation funds, life insurance companies, unit trusts and the Australian Securities Exchange
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influence of government – Australian Securities and Investments Commission, company taxation
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global market influences – economic outlook, availability of funds, interest rates
