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Does high operating leverage always mean high business risk? Explain.
High operating leverage doesn't always mean high business risk. If the company's sales are quite steady then the variation in operating income would be less even if the degree of operating leverage were large.
SCL Limited a highly profitable company is engaged in the manufacture of power intensive products.
Mutual Fund Services: Financial Mutual Funds launch schemes to cater to the need of the different categories of investors. They provide special services in addition to the retu
•?Detailed information should form the part of your answer (Word limit 150 to 200 words). Case let 1 This case provides the opportunity to match financing alternatives with the nee
Portfolios are simply combinations of different securities. The characteristics of investments do differ when we possess them in combinations or portfolios. As we shall see, an ass
How could we obtain an indisputable discount rate? How should we calculate the beta and the risk premium? There is no indisputable discount rate: a discount rate is a subjectiv
•What categories and in what amounts should Jenny allocate her funds to reflect a balanced monthly budget? Include the main categories as well as examples of other categories.
$7000 are invested at 5% per annum compound interest compounded yearly. What would be the amount after 20 years? Solution Here i = 0.05, P = 7000, and n = 20. Putting it i
#questioDiscuss the applicability of an operating cycle in the vegetable growing business n..
They are issued in the local market, by a foreign borrower are usually denominated in the local currency. For example, Yankee bonds are USD denominated bon
What are the advantages of “collecting early” and how do companies attempt to do this? Money has time value. The sooner cash is collected, the better. Companies employ regional
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