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What are your financial strengths and weaknesses? What are three types of short-term financing that our company could use to fulfill its cash needs?
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- What is the firm's cash flow from financing?Discuss the advantages and disadvantages of options in the financial markets? What is Cash conversion cycle? How the company can improve its cash conversion cycle? give three suggestionsHow can finance managers access and monitor the health and performance of a company?
- What does a positive operating cash flow mean for a company? What do a positive cash flow from assets, a positive cash flow to creditors and a positive cash flow to stockholders mean? What do these positive cash flows mean for an expansion plan financed by debt and equity?How do I calculate a company’s free cash flow if it is all-equity financed?Which of the following statements describes the cost of capital? A) The internal rate of return on investments B) The maximum acceptable rate of return on investments C) The minimum rate of return on investments D) The interest rate the bank charges its best customers
- Does it ever make sense for a profitable company with positive cash flow to seek external financing? Why or why not?Discuss the potential sources of long-term finance available to a large company.Explain why wealth maximization is a preferred goal over profit maximization for an organisation Discuss the role of Time value of money in the profession of Finance and Accounting, particularly the two common views of Future value and Present value and also Ordinary Annuity andAnnuity Due. Compare and contrast
- What is the relationship between the predictability fo a firm's cash inflows and its required level of net working capital? How are net working capital, liquify and risk of insolvency related?Why use short-term financing? Cash flows from operations may not be sufficient for a firm to keep up with growth-related financing needs, or the firm may not be able to always generate enough cash flow to maintain a surplus of cash. Firms prefer to borrow now to fulfill their capital requirements through means of short-term financing or long-term financing. Both methods have their advantages and disadvantages. The following statement identifies a possible characteristic of short-term financing. A. Consider this case: Short-term credit agreements are more restrictive than long-term credit agreements. Identify whether the preceding statement is true or false. This statement is false. This statement is true. B. Firms use a variety of short-term financing sources to support working capital. Use the descriptions in the following table to identify the short-term financing source. Description Short-Term Financing Source Continually recurring…1. Explain the main two types that the company could prefer to use them as a source of finance?