BusinessShort Term Financing Short term financing is business financing that you obtain usually for a term of one year or less. This type of financing is usually required…
BusinessWorking Capital Cycle Working Capital Cycle Working capital is the amount of a company’s current assets minus the number of its current liabilities. Working capital cycle means the…
BusinessHow is working capital affected by Sales; Technology and Inflation? Working capital is the amount of a company’s current assets minus the number of its current liabilities. The formula for working capital is Current Assets…
BusinessInventory Financing Inventory Financing: Short term fund can also be raised by pledging inventory as collateral, using floating collateral lines trust receipts, terminal warehouse receipts, field warehouse…
BusinessAdvantage and Disadvantage of Internal Rate of Return (IRR) An internal rate of return (IRR) is a metric used in capital budgeting measuring the profitability of potential investments. An internal rate of return is…
BusinessAdvantage and Disadvantage of Net Present Value (NPV) Net Present Value (NPV) is the difference between the present value of cash inflows and the present value of cash outflows. NPV is used in…
BusinessPossibilities of Net Present Value (NPV) Possibilities of Net Present Value (NPV) – Net present value is the difference between the present value of cash inflows and the present value of…
BusinessTechniques for Measuring Beta Risk The stock of beta coefficient, ‘β’ is a measure of the stock’s market risk. Beta measures the volatility of returns on a security relative to…
BusinessConcept of Stock of Beta The concept of Stock of Beta A stock of beta coefficient, ‘β’ is a measure of the stock’s market risk. Beta measures the volatility of…
BusinessWhy NPV is better than IRR? The internal rate of return (IRR) is one of the most popular methods of evaluating potential projects. Net Present Value (NPV) is the difference between…