--%>

Introduction of the term Cost Principle

Give a brief introduction of the term Cost Principle ?

E

Expert

Verified

Cost Principle : this principle contracts with the superlative capital structure which must minimize cost of financing and maximize the earnings per share. The cheaper type of capital structure is debt capital.

   Related Questions in Business Economics

  • Q : Perfect competition and efficiency

    Which of the given describes a condition in which a good or service is produced at the lowest probable cost: w) productive efficiency. x) allocative efficiency. y) marginal efficiency. z) profit maximization Please

  • Q : Current Account captures international

    Question The Current Account captures international fund flows due to net income on (past) investments, net transfers, and i._______________________________, general

  • Q : Describe the output effects of Inflation

    Describe the output effects of Inflation?

  • Q : Growth is a significant economic goal.

    Growth is a significant economic goal. Explain?

  • Q : Demand forecasting consumer's interview

    consumer's interview method for demand forecasting(point to point explain)

  • Q : Resource market for economic capital

    Janet has loaned a start-up coffee house $50,000 and predicts to earn interest from her financial investment. In circular flow model this transaction is an illustration of: (1) An exchange of her saving for interest, via a resource market for the economic capital. (2)

  • Q : Comparison between EVA and Ratio

    Comparison between EVA and Ratio Analysis: EVA helps in measuring the economic performance of the company. It is the profit earned by the firm less the cost of financing the firm’s capital. It shows that the shareholders gain when the return fro

  • Q : Illustrate the term Economic Rationale

    Illustrate the term Economic Rationale?

  • Q : Assertion for the levying of a tax on

    Use the circular flow model to confirm this assertion for the levying of a tax on air polluters?

  • Q : Single seller not sell at a price lower

    An individual seller within perfect competition will not sell at a price lower than the market price since: w) demand for the product will exceed supply.  x) the seller would begin a price war. y) the seller can sell any quantity she desires at the prevailing mar