Short terms working capital, Financial Management

Assignment Help:

Q. Short terms working capital?

1) Indigenous bankers: private money leased and other country banking used to be the only source of finance prior to the establishment of the commercial bank they used charge every high rate of the interest and exploited the customer to the largest extent is possible . now a day with the develop of commercial bank they have lost their monopoly . but every today some business house have to depend on the indigenous bankers for obtaining loans to ,meet their working capital requirement

2) trade creditors: trade creditors refers to the credit extended possible Interest. The firm may lose sales also because of shortage of stock and tight credit policy of the firm. Thus there is a cost of illiquidity which increases with the less and less level of current assets. The optimum level of current assets can be determined by balancing the cost of liquidity and the cost of illiquidity. The optimum level is the point where the total cost is the minimum.


Related Discussions:- Short terms working capital

Capital Strructure., What is the rational for having different types of sec...

What is the rational for having different types of security

Permanent and temporary working capital, Permanent and Temporary Working Ca...

Permanent and Temporary Working Capital, I am looking for assignment help on the topic Permanent and Temporary Working Capital. It would be great if anyone help me.

Interest rate risk, Bonds are usually recognized by yields, which cha...

Bonds are usually recognized by yields, which change from time to time owing to many market forces. There exists an inverse relationship between the bond price and the

What do you mean by misappropriation of fund, Q. What do you mean by Misapp...

Q. What do you mean by Misappropriation Of Fund? Misappropriation Of Funds allotted for specific works under capital or Revenue demand but the expenditure is incurred for anoth

Method to find seasonal variation in time series, Method to Identify the Co...

Method to Identify the Component of Seasonal Variation in a Time Series This technique is called as Ratio to Moving Average Method. In this technique, we construct an index wh

Why do analysts calculate financial ratios, Why do analysts calculate finan...

Why do analysts calculate financial ratios? Ratios are comparative measures.  For the reason that the ratios show relative value, they permit financial analysts to compare inf

Define the primary reasons that companies hold cash, What are the primary r...

What are the primary reasons that companies hold cash? Companies hold cash to make essential payments, to take benefit of opportunities as they arise, and to cover unforeseen eme

Extendible reset bonds, Extendible reset bonds are floaters in which ...

Extendible reset bonds are floaters in which the issuer is required to reset the coupon rate so that the issue will trade at a predetermined price (usually above

Residual method to find cyclical variation, Residual Method We know th...

Residual Method We know that a time series consisting of annual data for longer periods is depicted by trend lines. This facilitates us to isolate the component of secular tre

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