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Why does money have time value?Positive interest rates point out that money has time value. While one person lets another borrow money, the first person needs compensation in exchange for decreasing current consumption. The individual who borrows the money is ready to pay to increase current consumption. The needed rate of return on an investment reflects the pure time value of money, an adjustment for supposed inflation, and any risk premiums present.
The production department in any firm is concerned with provision of production facilities, production cycle, skilled and unskilled labor, storage of finished goods, capacity utili
DISCUSS THE APPLICABILITY OF OPERATING CYCLE IN VEGETABLE GROWING.
Explain what is meant by the incremental cash flows of a capital project. Incremental cash flows are defined by the change in total firm cash inflows and cash outflows which ca
Definition The term "Hedge Fund" is a colloquialism derived from the expression "to Hedge one's bets", which means to limit the possibility of loss on a speculation by betting
Financial Systems: The overall financial management framework will include a number of elements such as: Financial systems designed to capture the details of each financ
Assume that the current spot exchange rate is FF6.25/$ and the 3 month forward exchange rate is FF6.28/$. The 3 month interest rate is 5.6% per year in the U.S. and 8.8% per year i
A futures contract is a contract to purchase (and sell) a particular asset at a fixed price in a future time period. There are two parties for every futures contract - the seller o
Q. Explain about Inventory Turnover Ratio ? Inventory Turnover Ratio: - Definite items of inventory are slow moving. It signifies that their consumption is quite slow and capit
What are the disadvantages and advantages of Foreign direct investment (FDI) like opposed to a licensing agreement with a foreign partner? Answer: The major advantage of FDI (
#question.economic and finanancial environment.
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