What are the advantages of matching the maturities of assets and liabilities? What are the disadvantages?

Q: What are the advantages of balance sheet?

A: Financial Statement:   A financial statement is the complete record of financial transactions that…

Q: n what way do assets differ from liabilities?

A: Solution: Asset is a resource owned by the business having some economic value with expectation of…

Q: New York Bakery Balance Sheet December 2019 Assets Current assets Cash $4 50,180.74 Accounts…

A: The above mentioned solution is given in the below steps for your reference in the following steps.

Q: What is financial risk, and how does it arise?

A: Answer: Usually, financial risk refers to a situation where a company is not able to pay its fixed…

Q: What is the quantitative disclosure of lessor?

A: Definition: Lease: Lease is a contractual agreement whereby the right to use an asset for a…

Q: How do economies of scale and lumpy assets affect financialforecasting?

A: Economies of scale are cost advantages reaped by companies when production becomes efficient.…

Q: What are spontaneous liabilities?

A: spontanous liabilities

Q: Why is profit shown on liabilities side?

A: This is because of separate entity principle of accounting which says that the owner and business…

Q: What is liquid asset?

A: A liquid asset can be described as the asset which can be sold into the market easily and can be…

Q: What makes current liabilities different from long term liabilities?

A: Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: What are financial obligations? How they can be overcome?

A: Liabilities:The claims creditors have over assets or resources of a company are referred to as…

Q: What is financial asset market?

A: Financial assets generally include bonds, stocks, mutual funds, cash, deposits with bank etc. These…

Q: The following information is available from the most recent financial statements of the Attaché…

A: Debt to asset ratio = Total liabilities/Total assets x 100

Q: What is the difference between liabilities and assets?

A: The balance sheet represents the financial position of the business with assets and liabilities at…

Q: In what way do current liabilities and long-term liabilities differ from each other?

A: Current liabilities are liabilities that are due within one year. In other words, current…

Q: What is the difference between fully secured liabilities, partially secured liabilities, and…

A: Liabilities: The claims creditors have over assets or resources of a company are referred to as…

Q: Explain the difference between monetary and nonmonetary assets and liabilities.

A:

Q: What happens if liability exceeds assets? What will happen and what does it mean?

A: The difference between the assets and the liabilities is said as the net worth. If the assets are…

Q: What is the relationship between a discount rate (or IRR) and a capitalization rate? What causes…

A: Introduction: The discount rate is nothing but a rate that reduces potential cash flows in order to…

Q: Why is it favorable to invest in different investable assets?

A: Diversification is very important in investment to achieve the consistency.