Maturity of funds

Assignment Help Financial Accounting
Reference no: EM13942358

Which of the following is accepted financing wisdom?

A. The maturity of funds used to support a project should roughly match the project's duration.

B. Because firms can use their own equity as they choose, equity can be used to finance projects of any duration.

C. Any project can appropriately be supported by funding with a shorter maturity.

D. Any project can appropriately be supported by funding with a longer maturity.

Reference no: EM13942358

Questions Cloud

Differentiating its product from competitors by offering : A company currently sells 60,000 units a month at $10 per unit. The marginal cost per unit is $6. The company is considering raising the price by 10% to $11. If the price elasticity of demand is _______________ in that price range, then profit wou..
Java program that plays a guessing game with the user : The user must be allowed to play until deciding to explicitly terminate the game (I would use an exit button on the GUI window).
Organisation gaining a competitive advantage : Evidence that the organisation has a gain a competitive advantage from their marketing processes.
Supports state regulation of insurance : The National Association of Insurance Commissioners (NAIC) supports state regulation of insurance. Go to their web site, www.naic.org and click on "States and Jurisdictions."
Maturity of funds : The maturity of funds used to support a project should roughly match the project's duration.Because firms can use their own equity as they choose, equity can be used to finance projects of any duration.
Write a java applet not application : Ask user enter the three pieces of information below and compute the result by using the following formula:
Write a question about a part that confused : Write a question about a part that confused you/or you disagreed with and explain why.
Hospital outpatients versus modifiers for physicians : Discuss the difference between modifiers used for hospital outpatients versus modifiers for physicians. Why are they used? What do they add to the code? Give an example of each and what the modifiers mean.
Write a paper describing the four phases of the sdlc : Write a paper describing the four phases of the SDLC. Include each phase and how they build off of each other. The paper should end with the analyst team and by discussing the support plan for the system and what this will entail.

Reviews

Write a Review

Financial Accounting Questions & Answers

  Rewarded for reducing product costs

Assume that managers are rewarded for reducing product costs as calculated by the accounting system. In keeping with the theme that "you get what you measure,” if a company switches its overhead application basis from machine hours to direct labor ho..

  Show the journal entry to record payment of the dividend

Give the journal entry to record the dividend declaration on December 1, 2009. C. Show the journal entry to record payment of the dividend on January 15, 2010.

  Net income to the amount of cash provided

During the year, accounts receivable increased by $ 4,000, inventory decreased by $ 6,000, accounts payable increased by $ 3,000, and accrued expenses payable decreased by $ 2,000. Reconcile the amount of net income to the amount of cash provided ..

  What are the variable costs per unit

The variable costs per unit are $6 when a company produces 12,000 units of product. What are the variable costs per unit when 14,000 units are produced?

  Illustrate how would amount differ

On July 15, 2011, M.W. Morgan Distribution sold land for $36 million that it had purchased in 2006 for $25 million. Illustrate how would the above amount differ if the company were using indirect method?

  Is the ferry complying with safety regulations

Find the probability that the total weight of passengers on the ferry will exceed 4,250 pounds.

  What was effective interest rate that acme paid on this note

On July 1st 2015 ACME Company issued $20 million non-interest 1 year note to the bank who has a stated 10% discount rate. Principal and interest will be paid at maturity. What was the effective interest rate that ACME paid on this note?

  Evaluate service revenue and salaries expense

Judi uses the subsequent chart of accounts: No. 101 Cash, No. 112 Accounts Receivable, No. 126 Supplies, No. 201 Accounts Payable, No. 205 Unearned Revenue, No. 311 Common Stock, No. 400 Service Revenue, No. 726 Salaries Expense, and No. 729 Rent ..

  Operating income will increase

operating income will increase by what percentage

  Trend data can be measured in dollar amounts or percentages

Using the indirect method, the increase in accumulated depreciation is added to net income in the operating section. In general, the cash flow from operating activities is considered by many to be the most important component of the statement of cash..

  Find out whether the machine should be purchased

Assume the company’s minimum acceptable rate of return is 12%. Using the net present value method, find out whether the machine should be purchased.

  Used in making personal financial decisions

Cost-volume-profit analysis can also be used in making personal financial decisions. For example, the purchase of a new car is one of your biggest personal expenditures. What is the variable gasoline cost of going one mile in the hybrid car? What is ..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd