What is a working capital? What is its importance in the business process?

Q: Explain what is the capital structure of a company.

A: Company raise money by different means to finance growth and operations of company.Combinations of…

Q: how the capital structure, cost of capital, and dividend decisions are related?

A: A dividend is a distribution of a portion of a corporation's earnings to a class of shareholders…

Q: What are the financial resources of the company which are also kanown as working capital

A: Financial resources is a term covering all financial funds of an organization. They are part of…

Q: How do I determine the amount of capital a company has?

A: Capital: Capital are funds invested by investors in business. The investors invest in form of…

Q: Distinguish between economic and financial capital.

A: Capital resource:  The equipment and goods that are being used for the purpose of generating other…

Q: What are the sources or capital available to business? Why is the capital mix of a company so…

A: The sources of capital available to business: Equity: A company's capital is raised by issuing…

Q: Why is working capital given special attention in the process of analyzing balance sheets?

A: Working capital is the measure which evaluates the ability of a company to pay off the short-term…

Q: The resources owned by the business is called?

A:

Q: What is a simple capital structure? How is EPS determined for a company with a simple capital…

A: A simple capital structure is a firm that has no outstanding securities that could potentially…

Q: What are the sources of capital that can generally be used to start and grow a business? Critically…

A: A company's capital is the money it has available to pay for day-to-day operations and to support…

Q: What are the main components of a company’scost of capital?

A: Cost of capital It is essential to come back to make a capital planning venture advantageous, for…

Q: What is capital structure of a company and explain why it is important?

A: The capital structure of a company and explain why is important will be explained:

Q: What are financial intermediaries, and what economic functions do theyperform?

A: Financial intermediaries connect the borrowers and lenders in the financial market. The financial…

Q: Briefly explain the reasons because of which companies must engage in working capital management.

A: Working capital: Working capital measures the efficiency of an organization. It is calculated by…

Q: EXAMINE THE IMPOTANCE OF WORKING CAPITAL TO A  BUSINESS OR COMPANY

A: Working capital is the amount of money that a company needs to run its business on a day-to-day…

Q: What are the components of the Capital Structure of a Company? and explain the importance of Capital…

A: The capital structure is the structure of sources of funds of the company. The capital structure…

Q: What is a working capital, and how does it differ from other types of capital? What role does it…

A: Business process are the sequential steps followed by the stakeholders to reach a certain goal. Each…

Q: What is a company's capital structure and why is it important?

A: Answer: Company consists of assets, liabilities and equity in the financials.  Company capital…

Q: .Explain the importance of capital structure to a company

A: Capital structure means identifying the best mix of equity and debt in a company that maximizes the…

Q: What are the financial resources of the company which are also called working capital

A: Financial resources is a term covering all financial funds of an organization. They are part of…

Q: What is the net income for this firm?

A: Net Income is revenue excluding all expenses of the firm

Q: Is cost of capital set by investors or managers?

A: Cos of capital (Coc) is rate of return required to make capital budgeting decisions for example,…

Q: How is EPS determined for a company with a simple capital structure?

A:

Q: Which is more important to a company capital or O&M? Why?

A: Capital Expenditure Capital expenditure is one of the important  factors of the company.  It is the…

Q: What does capital structure of a company means?

A: Capital structure of a company is the proportion of various long term sources of finance used to…

Q: Identify if statements are true for the corporate form of organization. Capital is more easily…

A: Answer:   False.

Q: How do the types of assets used affect a firm’s capital structure?

A: There are 2 types of assets, fixed assets and current assets. Fixed assets have life for long period…

Q: how is financial decisions helps create value for the firm's shareholder?

A: Solution- Impotance of Financial Decisions to create value for firm's shareholders-       A good…

Q: Describe the method of determining the Company Cost of Capital?

A: Firms often operate their company using the capital generated from different sources. That involves…

Q: 1. What are the components of a working capital? Is it important? Why or why not?  2. What is the…

A: 1. Working capital is the difference between the current assets of the company and the current…

Q: Describe the process of calculating the Company Cost of Capital?

A: Firms often operate their company using the capital generated from different sources. That involves…

Q: How can a company raise capital

A: A corporation or a company is a separate entity that is established legally and is identified as a…

Q: What does it mean when someone refers to acompany’s capital structure?

A: Every business needs money and funds in order to run its operations effectively. There are various…

Q: Describe the process of determining the Company Cost of Capital?

A: Cost of capital : It is that rate of return company has to pay to raise the capital to start a…

Q: What is meant by Capital Structure of a company? In this context, describe the various sources of…

A: The capital structure of a company describes the amount of debt and/or equity used to finance both…

Q: How does shareholder value relate to capital structure?

A: The combination of various types of external funds, known as capital, used to finance a corporation…

Q: What is the capital structure of the company?

A: Here Is The Answer:

Q: What is meant by capital structure, what are the characteristics of it's main components, and how…

A: Meaning of Capital Structure: - It is the most important factor of a company. A company can not run…

Q: Explain what is meant by the 'capital structure' of a company. Using the different theories of…

A: Capital structure refers to the financial mix of a company. It includes the various sources of…

Q: How does accounting help the capital allocation process?

A: Capital allocation: A capital allocation is the process of allocating total capital amount into…

Q: development in the fi

A: Professional accountants make a significant contribution to the economy at the local, national and…

Flow of Funds

The flow of funds is the financial accounts of the nation, which monitor and control the cash flow among various sectors or industries, or markets. Central banks use these flow of funds statements to acquire macroeconomic data, to publish cash inflow and cash outflow statements of the nation. This flow of funds system is utilized to identify economic activity and changes in the economy. It is used by Federal Reserve to determine the Gross Domestic Product (GDP) of the nation and to implement monetary policy and fiscal policies.