Which of the following statements is true? a. Determining how day-to-day financial matters should be managed is not a function of financial managers. B. The goal of the firm is to maximize market share. C. Working capital management refers to identifying productive long-term assets the firm could acquire to maximize net benefits. D. Capital budgeting refers to identifying productive long-term assets the firm could acquire to maximize net benefits.
Cost of Debt, Cost of Preferred Stock
This article deals with the estimation of the value of capital and its components. we'll find out how to estimate the value of debt, the value of preferred shares , and therefore the cost of common shares . we will also determine the way to compute the load of every cost of the capital component then they're going to estimate the general cost of capital. The cost of capital refers to the return rate that an organization gives to its investors. If an organization doesn’t provide enough return, economic process will decrease the costs of their stock and bonds to revive the balance. A firm’s long-run and short-run financial decisions are linked to every other by the assistance of the firm’s cost of capital.
Cost of Common Stock
Common stock is a type of security/instrument issued to Equity shareholders of the Company. These are commonly known as equity shares in India. It is also called ‘Common equity
Which of the following statements is true?
a. Determining how day-to-day financial matters should be managed is not a function of
B. The goal of the firm is to maximize market share.
C. Working capital management refers to identifying productive long-term assets the firm could acquire to maximize net benefits.
D. Capital budgeting refers to identifying productive long-term assets the firm could acquire to maximize net benefits.
The business function referred to as management is responsible for allocating the funds available so as to maximize corporate performance and return on investment. Professionals in financial management arrange, plan, and manage all corporate transactions.
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