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Explain the Following as Factors Affecting the Requirements of Fixed Capital: Financing Alternatives - Business Studies

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प्रश्न

Explain the following as factors affecting the requirements of fixed capital:

Financing alternatives

उत्तर

Financing alternatives:
If leasing facilities are available without any lengthy procedures in the financial market, then the fixed capital requirements will be less.

Non-availability of financing alternatives ⇒  More fixed capital

Availability of financing alternatives ⇒ Less fixed capital

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2013-2014 (March) Delhi Set 1

वीडियो ट्यूटोरियलVIEW ALL [2]

संबंधित प्रश्न

Match the pairs 

Group A

Group B

a. Fixed Capital

1. Owned Capital

b, Overdraft facility

2. Bearer document

c. Share certificate

3. Investment in fixed assets

d. Debentures

4. Current Account

e. Return on shares

5. Application Money

 

 

 

 

 

6. Dividend

7. Investment in current assets

8. Borrowed capital

9. Savings Account

10. Registered Document


Explain the following as factor affecting the requirements of fixed capital:

Choice of technique


Explain the following as factors affecting the requirements of working capital:

Nature of business


Explain the following as factors affecting the requirements of working capital:

Production cycle


What is working capital? Discuss five important determinants of working capital requirement?


Answer the question.
Briefly explain any four types of working capital required by a business concern.


What is meant by capital gearing ratio?


Companies with a higher growth potential are likely to


Current assets are those assets which get converted into cash


Higher dividend per share is associated with


What are the important determinants of working capital requirement?


______ of a firm refers to those assets which can be converted into cash or cash equivalents in a short period of time.


Working capital is calculated as?


______ refers to the decisions regarding where to invest so as to earn the  highest possible returns on investment.


______ involve identifying various sources of funds and deciding the best combination for raising the funds. 


______ decision involves the decision regarding the distribution of profit or surplus of the company.


Net working capital may be defined as the:


Assertion (A): A commercial bill is a bill of exchange used to finance the working capital requirements of business firms.

Reason (R): Commercial bill is a short-term, negotiable, self-liquidating instrument which is used to finance the credit sales of firms.


When XYZ company acquired a toy manufacturing company, it paid a large amount for the goodwill. Which source of business funds of XYZ company was impacted?


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