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Q. What is Adjusted Basis?
Adjusted Basis - After a taxpayer's basis in property is determined, it should be adjusted upwardto include any additions of capital to the property and decreased by any returns of capital to thetaxpayer. Additions may include improvements to property and subtractions may includedepletion ordepreciation. A taxpayer's adjusted basis in property is deducted from the amountrealized to find loss or gain on sale or disposition.
What is capital rationing? Should a firm practice capital rationing? Why? The term Capital rationing is the practice of setting dollar limits on what will be invested in new ca
how can an operating cycle be applied to a poultry business
Consider a mortgage example to nance the purchase of a house or flat. You may use a real example or create a ctitious one. Search for dierent types of mortgages currently on oe
Q. Interest Rate Risk in financial management Interest rate risk is the variation in the single period rates of return caused by the fluctLlaoons in the market interest rate. M
In a putable bond, the bondholder has the right to force the issuer to pay off the bond prior to the maturity date. Let us consider the previous example with the
Government intervention The government might look for intervene in the take-over bid because of fears that the market share of the combined group would constitute a monopoly wh
Secured LBO Financing or Asset-Based Lending Under asset-based lending, the borrower pledges certain assets as collateral. Asset-based lenders look at the borrower's assets as
What problems can take place into the capital budgeting analysis if project debt is evaluated in place of the borrowing capacity created by the project? If project debt is grea
What factors would you consider in evaluating the political risk related with making FDI in a foreign country? Answer: Factors to be considered as follow: a) The host countr
The dividend is the part of the net income that the company distributes to shareholders. As the dividend represents real money, the net income is also real money. Is that true?
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