is it possible for a company to expand itself out of existence, and how can this be avoided as a financial manager?

Q: How to incease profitability in a service company if Operating cash does not cover debt?

A: operating cash flows -  cash flows from the operations of the business are known as operating cash…

Q: What is financial leverage and how does it affect a business's performance?

A: The company borrows money to acquire assets and do operations. The amount of debt a corporation has…

Q: Can a business survive without a business plan?

A: In today's world of economy we would likely to know how important a business in our society.  Most…

Q: How is it possible for a firm to grow itself out of business and how can this be guarded against as…

A: Finance managers are accounting experts concerned for a company or organization's financial…

Q: What are the options available to a company in the event of a financial failure?

A: Overspending and a more considerable degree of illiquid assets might lead to the firm's financial…

Q: Can a company be profitable but not liquid? Explain.

A: Liquidity: It can be defined as the ease or quickness with which the short term assets of a company…

Q: How could overconfidence affect the financial manager of the firm and the firm’s shareholders?

A: The company have the option to issue its equity shares to the public for raising capital or…

Q: Is it possible for a new business venture to be profitable and yet have financial trouble?

A: Corporate finance is referred as the decision of the firm to take capital investments and other…

Q: What can be said about a firm whose owners’ equity is a negative amount? How could such a situation…

A:

Q: What can go wrong with financial leverage? Should it be used at all by a business?

A: Financial leverage refers to a term that tells us the use of money which one borrowed means the debt…

Q: What dangers are there in misrepresenting the financial performance of your company?

A: The objective of the question is to understand the potential risks and dangers associated with…

Q: What are the possible actions that a firm can take if it experiences a financial failure?

A: Financial failure of the firm could be resulted because of overspending, higher degree of illiquid…

Q: Why may companies not be indifferent to purchase and pooling accounting?

A: Answer:-  Pooling accounting:- The accounting procedure known as "pooling of interest" dictated how…

Q: What is NOT a question that needs to be answered when completing financial due diligence? A. Is…

A: Financial due diligence is an integral part of the merger and acquisition process. It states that…

Q: Why would managers misrepresent the financial results oftheir companies?

A: Fraud:   It is an intentional misappropriation of the assets or the financial records of an…

Q: What could possibly go wrong while using financial leverage? Do you think it should be utilized by a…

A: Financial leverage: Financial leverage is a word that describes the use of borrowed money (debt) to…

Q: Why is the study of financial management important? Offer examples of how poor financial management…

A: Financial management plays a crucial role in managing money in all areas of life. It includes…

Q: What factors reduce the effectiveness of companies business plan

A: A business plan is a written document that explains all the things about business objectives and how…

Q: How can a company expand itself out of business, and how can a finance management prevent this from…

A: There are various methods that are been used by the company in order to expand its business. A good…

Q: why do firms use non financial measures

A:

Q: How can you tell of a company is profitable?

A: Profit. of a Company:After deducting all of the costs associated with running a business, the amount…

Q: Why are internal accounting controls important to a business? What are advantages vs. the…

A: Internal control refers to a systematic procedure to be followed by the personnels of a company to…

Q: What are the main implications of financial risk associated with the company?

A: There are various types for financial risk which are associated with the company such as: 1) Market…

Q: How is liquidity both beneficial and harmful to a firm?

A: The ease with which a security or asset can be turned into available cash without impacting its…

Q: (3) Which size of firm, large or small, is moreprone to business failure? Why?

A: Business failure is defined as the ceasing operations of the company due to the inability of the…