Answer ALL questions. Each question carries ONE (1) mark. State whether each of the following statements is TRUE or FALSE.

1. Borrowed money cannot be classified as a source of capital for a business.__________________________.

2. Assets are resources owned by the business.____________.

3. Current expenditure is the same as capital expenditure. ___________.

4. Salaries and wages is a typical example of capital expenditure. _________________.

5. Public companies can raise capital through selling shares and debentures._____________________.

6. Market research is not an element of the marketing mix. _________________________.

7. Saying how badly your competitor treats customers is an effective way of promoting your products._______________.

8. You should have a certain type of customer in mind when drawing up your marketing plan.____________.

9. You should have a marketing plan before developing a business idea. ___________.

10. Knowledge of the average income of your prospective customers is an important element of marketing. __________.