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Q. What do you mean by Average Cost and Marginal cost?
Average Cost and Marginal cost: the average cost is the combined cost as explain above, but for the difference in the form of expression. The combined cost may be expressed as the total cost of all source of the capital and the average cost as the percentage of total composite cost of the total funds employed. It is thus the weighted average of the cost of the each component of funds employed by the firm. The weights are the proportion of the share of each component of funds by the employee. The marginal cost of capital is that average cost which is concerned with the additional funds raised by the funds. While taking capital budgeting and financing decision for an existing concern. It is the marginal cost of capital which the forms based and not the average costs.
Explain the Strategic alliance Two or more organisations agree to work and collaborate informally together however remaining independent from one another. Simila
Q. Definition of financial leverage? One of the goals of planning an appropriate capital structure is to maximize the return on equity shareholders fund or else maximize the ea
Tests of controlor systems based auditing Tests to obtain audit evidence about effective operation of the accounting and internal control systems. It isn't concerned about deta
a) A product portfolio is the range of products that a business owns or the strategic business units owned by a firm. In bigger firms, like as Virgin, a broad product portfolio mig
Q. Define Double-Entry Bookkeeping? Double-Entry Bookkeeping - Method of recording financial transactions in that every transaction is entered in two or more accounts and inclu
#question.economic and finanancial environment.
The Donut Shop, Inc. is planning to add a 2nd Donut Shop by opening a new store across from Webster University. A survey of the area has already been completed at a cost of $150,00
A with-profit whole life assurance policy was issued to a life then aged 25 with: • basic (initial) sum assured of S = $100,000; • bonuses added to sum assured at the end of ea
If firm A has a higher debt-to-equity ratio than firm B then that means what
Accounting Principle Accounting principles are the primary assumptions, rules of operation, and necessary features that make up the framework for the construction of accountin
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