--%>

Explain the primary advantage of investing its funds

Explain the primary advantage to a corporation of investing some of its funds within working capital?
Through investing in working capital a firm gets the liquidity it require helping it to pay its bills. Therefore the risk of the firm is reduced.

   Related Questions in Finance Basics

  • Q : Define CALSTARS CALSTARS : The acronym

    CALSTARS: The acronym for the California State Accounting and Reporting System that is the state's primary accounting system. Most of the departments presently use CALSTARS.

  • Q : Explain agents and their

    Normal 0 false false

  • Q : FIN 335: Time Value of Money Problems

    FIN 335: Time Value of Money Problems  Computed on a Texas Instrument BA II Plus financial calculator  Before you start:  ? The calculator com

  • Q : Equilibrium interest rate Normal 0

    Normal 0 false false

  • Q : Government requirements imposed on

    Describe some of the government requirements imposed onto a public corporation which are not imposed on a private, intimately held corporation? Public corporations ought to submit audited financial statements to the government for release to the

  • Q : Assignments i want to write final state

    i want to write final state report. My state is Texas.

  • Q : Domestic opportunity cost of production

    Hypothetical production possibilities tables for New Zealand and Spain are given below 639_Hypothetical production possibilities.png

    Q : Factors affecting option of maximum

    Describe the factors affecting the alternative of a maximum cash balance amount. The maximum cash balance amount is finding out by obtainable investment opportunities, the expected return on investments, and the transaction cost of making invest

  • Q : Explain Public Service Enterprise Fund

    Public Service Enterprise Funds: For legal base accounting purposes, the fund categorization which identifies funds utilized to account for the transactions of self-supporting enterprises which render goods or services for a direct charge to user (tha

  • Q : In which ratios long-term bond investor

    Which ratios would a potential long-term bond investor is most interested in? Describe. Current & potential lenders of long-term funds, such like banks & bondholders, are interested in debt ratios.  While a business's debt ratios ri