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Potential drawbacks of divestment
- There may be some loss of economies of scale. Fixed overheads would have a lower capacity to recover them.
- Cash generated may not be put to suitable use thereby reducing the returns.
Sell-off is a form of divestment and is sale of part of a company to a third party, generally for cash. It is a good way of raising cash and focussing on core business activities.
Optimal Cash Model: Cash Management is a bigger aspect that involves range of functions that assist individuals and business to process their payments and receipts in an organ
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Will you please give the defination of "Future Value Of An Annuity"?
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