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Plugging back of the future of profit means the reinvestment by the concerns of its surplus in the business. it is an internal financial of the business and it is more suitable for the establishment firm for its expansion, modernization and replacement etc. this method of the finance has a number of the advantage as it sis cheapest rather cost free source of finance there is no needs to keeps security there is no dilution of the control, it ensure of stable dividend policy and gains confidence of the public. But excessive report to the plugging back of the profit may lead to the monopolies, misuse of funds over the capitalization and speculative
All other things held constant, how would the market price of a bond be affected if coupon interest payments were made semiannually instead of annually? The majority of bonds i
What is the advantages of IFRS 8 Advantages Allows users to view internal management's approach and highlights what's important from management's point of view.
What is Redeemable debt Company will have to re-pay the debt at redemption date or between the two redemption dates (i.e. 20X5/20X9, means debt can be redeemed any time betwe
investors in capital market
Define depreciation expense as it appears on the income statement. How does depreciation affect cash flow? The term accounting depreciation is the allocation of an asset's init
Stable Money Measurement A business entity enters within numerous transactions in which affect the business in varied ways. Therefore recording, classification and summarizat
the following information related to sun ltd.paid-up capital-1000000. earnings of the co-100000. dividend paid-80000. price-earning ratio(pie)-20. no of equity shares-100000.find o
how do we compute for benefits can derrive out of using lockbox system?
Determine the objectives of Profit maximisation Profit maximisation remains one of the key objectives for the managers of the companysince many managers' compensations are lin
Eurocurrency A currency on deposit outside its country of source. Such deposits are well known as external currencies, international currencies or xenocurrencies.
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