What is the meaning of over-capitalisation, Financial Management

Assignment Help:

What is the meaning of Over-capitalisation

It is the opposite of over trading. It means a company has a large volume of inventories, trade receivables and cash balances though very few trade payables. Funds tied up could be invested profitably.

 


Related Discussions:- What is the meaning of over-capitalisation

Financial ratios, Financial Ratios: Another method of measuring and mon...

Financial Ratios: Another method of measuring and monitoring performance is through the use of financial ratios and other comparative tools. Financial ratios use information

OPERATING CYCLE, discuss the applicability of operation cycle in avegetab...

discuss the applicability of operation cycle in avegetable growing business

Contrast a benefit and a defined contribution pension plan, Compare and con...

Compare and contrast a defined benefit and a defined contribution pension plan. In defined benefit plan retirement remuneration are determined by a formula that typically

Research and development and marketing costs, a) Product orientated busines...

a) Product orientated businesses tend to be produce products and inward looking that they hope will sell in the marketplace. For example, Sony hoped that its $101,500 audio systems

Illustrate dividend valuation model, Q. Illustrate dividend valuation model...

Q. Illustrate dividend valuation model? The business is being acquired as a going concern and earnings valuations rather than asset valuations are recommended. Even these are b

Explain the risk-return relationship, Explain the risk-return relationship....

Explain the risk-return relationship. The relationship among risk and required rate of return is known as the risk-return relationship.  It is a positive relationship for the r

Credit spread risk, A credit spread refers to the difference in inter...

A credit spread refers to the difference in interest rate between a corporate bond and a comparable maturity government bond. Suppose interest rate on a five-year

Explain the four fundamental rights of ownership, Explain the four fundamen...

Explain the four fundamental rights of ownership A shareholder, by virtue of being an owner, is generally entitled to four fundamental rights of ownership: 1. Claim on a sha

Expert , i have Passed all three level of CFA program and i want to join y...

i have Passed all three level of CFA program and i want to join you expert team. will you please tell me will this happen

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd