Solvency Ratios
by Solvency Ratios also known as leverage ratios determine an entity’s ability to service its debt. So, …
Tag: P5 Essentials of Management Lucknow University B.com Notes
Sources of capital; Owned and borrowed, Trade Credit, Bank credit, Commercial papers etc.
Finance required by the business to establish and run its operations is known as Business …
Accounting rate of return (ARR)
Accounting rate of return (ARR) is also known as average rate of return. ARR is …
Capital Budgeting
Capital budgeting is a method of analyzing and comparing substantial future investments and expenditures to …
Capital Structure Concept
“Capital structure is essentially concerned with how the firm decides to divide its cash flows …
Capitalisation Concept
Capitalization is an accounting method in which a cost is included in the value of …
Cost of Capital
Cost of capital is the required return necessary to make a capital budgeting project, such …
EBIT-EPS analysis for Capital Structure decision
EBIT-EPS analysis gives a scientific basis for comparison among various financial plans and shows ways …
Factors influencing Capital Structure
Size of Company: Small companies may have to rely on the founder’s money but as …
Internal Rate of Return
The IRR is used when the cost of the investment and the annual cash flows …