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Sources of farm financing II - SS1 Agriculture Past Questions and Answers - page 1

1

What is the primary purpose of Savings and Thrift Societies (cooperative credit societies)?

A

Provide high-interest savings accounts

B

Pool savings to offer affordable credit to members

C

Invest in agricultural stocks

D

Provide free financial education

correct option: b
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2

Self-financing in farming involves:

A

Borrowing from banks

B

Using resources generated within the farm

C

Selling farm assets

D

Receiving government grants

correct option: b
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3

Which government support mechanism helps farmers cope with losses due to natural disasters or market fluctuations?

A

Subsidies

B

Low-interest loans

C

Crop insurance

D

Research grants

correct option: c
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4

What is the primary role of agricultural cooperatives?

A

Providing high-interest savings accounts to farmers

B

Offering free agricultural training

C

Pooling resources to access credit, market products, and share profits

D

Subsidizing farming equipment

correct option: c
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5

Which source of farm financing involves members saving money regularly and providing affordable credit to one another?

A

Self-financing

B

Government grants

C

Savings and Thrift Societies

D

Private loans

correct option: c
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6

What do NGOs and non-profit organizations often provide to farmers?

A

High-interest loans

B

Free farm equipment

C

Financial education

D

Financial assistance, training, and resources

correct option: d
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7

Crowdfunding for farming is typically done through:

A

Traditional banks

B

Cooperative credit societies

C

Online platforms

D

Government agencies

correct option: c
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8

Government subsidies for farming often target which of the following?

A

Increasing interest rates

B

Reducing the cost of inputs

C

Selling farm assets

D

Providing free education

correct option: b
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9

Which source of farm financing involves using farm assets as collateral for loans?

A

Government support

B

Private loans

C

Savings and Thrift Societies

D

Self-financing

correct option: b
Users' Answers & Comments
10

What is the primary function of government-backed agricultural banks?

A

Providing high-interest loans to farmers

B

Offering free agricultural training

C

Offering low-interest loans and financial support to farmers

D

Subsidizing farm equipment purchases

correct option: c
Users' Answers & Comments
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