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Q. Explain Dividend Policy Decision?
Dividend Policy Decision: - The financial management has to make a decision as to which portion of the profits is to be distributed as dividend among shareholders and which portion is to be retained in the business. For this reason the financial management must take into consideration the factors of bonus shares, dividend stability and cash dividends in practice.
Inventory is sometimes thought of as a necessary evil. Explain. Inventory ties up funds and these types of funds are not earning an explicit return. A few inventory is often es
Segment Margin This is the amount in which a business segment in a company contributes toward the common or indirect cost of the company. Therefore, it represents that segment'
Describe the differences between foreign bonds and Eurobonds. Also discuss why Eurobonds make up the lions share of the international bond market. Answer: The two segments of t
Q. Explain Present Value of a Series of Cash Flows? Present Value of a Series of Cash Flows: - In a business circumstances it is very natural that returns received by a firm ar
exercise
Which one is true 1.the higher the discount rate the lower the cost of trade credit 2.the higher the discount rate the higher the cost of trade credit 3.cost of trade credit duri
Limitation of profit maximisation -Quality of Benefits Probably the most vital technical limitation of profit maximisation as an operational objective, is that it ignores qua
DISCOUNTING TECHNIQUE is also called present value technique. It is the process of calculating the present value of cash flows. Discounting is determining the present value of a
Q. What is ABC Analysis? ABC Analysis: - ABC Analysis is a method of controlling different items of inventory. Generally a firm has to maintain several different items as inven
Criticism of Profit Maximization Approach: (i) Ambiguous: - One practical complexity with this approach is that the term profit is ambiguous. Different people take dissimilar me
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