Explain reasonable things to do is to finance current assets
The reasonable thing to perform is to finance current assets that are collections and inventories etc. with short-term debt and fixed assets along with long-term debt. Is it correct?
Expert
The reasonable thing to perform is to finance the permanent needs of financing (either because of current assets or fixed assets) with long-term debt and the temporary needs of financing with short-term debt.
What is the importance and the utility of the given formula: Ke = DIV(1+g)/P + g?
I do not know the meaning of Working Capital Requirements. I think this should be same to Working Capital (Current Assets – Current Liabilities). There am I right?
How could we project exchange rates within order to be capable to forecast exchange differences?
Who introduced put–call parity?
Exploitation of favorable market conditions: The firms after estimating WCR are in a position to clearly identify their status of excess current assets. After this realization they can use this knowledge to encash conditions arising in market even for
Does the book value of the debt all the time coincide with its market value?
You are required to submit a bid to supply 200,000,000 widgets per year to the State of Illinois for the next five years. Your company has an idle tract of real estate that cost $1,500,000 ten years ago; if your company sold the land today, it would generate $3,000,000 after the taxes were paid. The
Regarding the WACC which has to be applied to a project, must it be an expected return, the average historical return or an opportunity cost on similar projects?
Is there any indisputable model for valuing the brand of a company?
We were assigned a valuation of a pharmaceutical laboratory’ shares. Which valuation method is further convenient?
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