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Rights of Ordinary Shareholders
A. Right to vote
B. Influence decisions as:
Existence of Quantity Discounts Recurrently, the firm is capable to take benefits of quantity discounts. Since these discounts affect the price per unit, they influence also
(Interest-rate risk) Philadelphia Electric has many bonds trading on the New York Stock Exchange. Suppose PhilEl''s bonds have identical coupon rates of 9.125% but that one issue m
Every time a listed company does a share buyback, investors and media alike would debate fiercely on the merits of such a scheme. There are investors who prefer buybacks to high
The construction of a highway is broken into 14 activities as shown in the following table. Draw a bar chart of this construction project. Activity ID Desc
Example of Payback Period Method Suppose a project costs Sh.80,000 and will produce the following cash inflows as: Cash inflows Accumu
Materials Management - Supply Chain Management Materials management was once a task undertaken without the assistance of computers. Today it is unthinkable as the speed of cal
Head Office and Branch or Subsidiary MNC has diverse operations set up in dissimilar geographical locations. The HQ acts like the principal and the subsidiary like an agent he
Differences between Equity Finance and Preference Dissimilarity between Equity Finance and Preference are as follows: Ordinary share capital
IRR or Internal Rate of Return This method is a discounted cash flow technique that uses the principle of NPV. It is described as the rate such equates the present value of c
Assume IBM pays out all earnings as dividends. Today is t = 0 and IBM just paid a $2 dividend on $2 of earnings. The market expects dividends will grow each year by 5% until t = 4
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