by kasi | Jun 6, 2010 | Finance
Management and shareholders are mainly concerned for the long term returns over investment. In a stable economy where some degree of certainty prevails companies prefer to invest in long term projects which require heavy investments initially and return is expected... by kasi | Jun 1, 2010 | Finance
The capital structure of a firm comprises of three financing components i.e. shareholders’ funds (including retained earnings), borrowed funds, and preference shareholders funds. All capital components have one feature in common i.e. the investors who provided the... by kasi | May 24, 2010 | Finance
Return on Assets ratio is one of the profitability ratio used to determine the utilization of Assets by the company to generate profits.Higher the value of ROA better is the usage of assets to make profit. The ROA is calculated by dividing the net income with total... by kasi | May 23, 2010 | Finance
If a person show you a home and tells that he is the owner of that home worth 2 Million dollars. After this statement you may ask the person “ Whether the home is 100 % self financed or you took money from bank or someone else?”. The person can either tell you that... by kasi | Feb 17, 2010 | Finance
Working capital or net working determine the operational efficiency and ability of the company to pay its short term obligation. The value of working capital is equal to current assets minus current liabilities as mentioned below. Working Capital or Net Working... by kasi | Feb 15, 2010 | Finance
A quick ratio or acid ratio determine the company ability to meet its short term obligation by converting current assets into cash at short period of time of one month. The need of quick ratio arise to measure the liquidity of the company more accurately by...