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What is the matching principle of working capital financing? What are the benefits of following this principle?
The matching principle is while short-term financing is used for temporary current assets while long-term financing is used for permanent fixed assets and current assets. The major benefit of this approach is that as temporary current assets are sold off the proceeds can be used to pay off the short-term debt.
discuss the applicability of operating cycle in poultry industry[consider broilers]
Q. Computation of Value of the Firm? Illustration:- EBIT = 50,000 10% Debentures
What is a sunk cost? Is it relevant when evaluating a proposed capital budgeting project? Explain. A sunk cost is a cash flow that has already takes placed, or that will take
Q. What do you mean by Gross working capital? Gross working capital: - Gross working capital demotes to firms investment in current assets. Current assets are the assets which
Explain the Role of commission authorities Competition Directorate is one of the independent public bodies which help ensure healthy competition between companies which then be
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Does the expected value of the sales and of the net income of Spanish companies have anything to do with sustainable growth? No. Sustainable growth it is just a number that sho
What are Municipal Bonds? Define this term. Municipal bonds are debt instruments issued through US local, state or county governments to finance public interest projects. These
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