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What is compound interest? Compare compound interest to discounting.
Compound interest takes place when interest is earned on interest and on the original principal of an investment. Discounting is the opposite of compounding. Compound interest making the value of a beginning amount to increase at an increasing rate. Discounting makes the present value of a future amount to decrease at an increasing rate.
What is the operating leverage effect and what causes it? What are the potential benefits and negative consequences of high operating leverage? The phrase operating leverage e
Q. Explain Dividend Policy Decision? Dividend Policy Decision: - The financial management has to make a decision as which portion of the profits is to be distributed as dividen
Should a firm hedge? Why or why not? Answer: Firms may not need to hedge exchange risk in a perfect capital market. But firms can add to their value by hedging if markets are
applicability of an operating cycle in a vegetable growing business
Fund of hedge Funds The universe of Fund of Funds (FoFs), often referred to as Fund of Hedge Funds, continues to grow from Year 2000, both in absolute terms and as a relative c
Q. Give subject matter of participation? Subject matter of participation by and large the workers interests in participation varies with the nature of issues' involved in parti
Portfolio Classification of Mutual Funds Mutual Funds differ with reference to the type of instruments in which the money has been invested as per the requirements of the inves
The buy down loan is similar to the PAM; however, it is the seller of the property and not the buyer/borrower who places cash in a segregated account so that additional
A firm has net working capital of -$800. Long-term debt is $15,400, total assets are $24,800 and fixed assets are $19,100. What is the amount of the total liabilities.
Primary Market In an economy, at a given point of time, there will be people/entities called savers the surplus units, whose current income exceeds their current expenditure whi
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