Bsc Financial Management Sem 5

Techniques of Financial Analysis Financial Analysis is defined as being the process of identifying financial strength and weakness of a business by establishing relationship between the...

WORKING CAPITAL The capital of a business which is used in its day-by-day trading operations, calculated as thecurrent assets minus the current liabilities. Working capital...

Concept of Working Capital: Gross and Net Working Capital There are two concepts or senses used for working capital. These are: 1. Gross Working Capital 2. Net working...

Classification of Ratios 1. Liquidity Ratios: These ratios measure the ability of a company to meet its current obligations, and indicate the short-term financial stability of...

Three main sections of Statement of Cash Flows: Operating Activities: The principal revenue-generating activities of an organization and other activities that are not investing or...

Capitalisation Capitalization, in accounting, is when the costs to acquire an asset are expensed over the life of that asset rather than in the period...

Over trading and Under Trading Over-trading and under-trading are facets of over and under-capitalization. Over trading is a curse to the business.OVER TRADING :A company which is under-capitalized will try to...

Financial Planning Financial Planning is a vital part of Financial Management. In fact, planning is the first function of management. Before embarking on any venture,...

What is Capital Budgeting? Capital budgeting is defined as the process of planning for projects on assets with cash flows of a period greater than...

IMPORTANCE OF CAPITAL BUDGETING 1. Long-term Implications of Capital Budgeting A capital budgeting decision has its effect over a long time span and inevitably affects the company’s future...