A current asset is either cash or an asset (e.g. stock) that can be converted into cash within a year and is often used to pay off current liabilities.
Current assets typically include categories such as cash, marketable securities, short-term investments, accounts receivable , prepaid expenses, and inventory.
Approaches to Financing Current Assets.
Instruments in raising finance.
advantages and disadvantages of trade credit.
inter Corporate Deposits , etc.
Commercial credit analysis can introduce a lot of complexities into the banking organization: additional underwriting standards, new financial data to collect and interpret, complex relationships with multiple entities and commingled incomes, additional regulatory focus, etc.
Sageworks Senior Consultant Peter Brown covers some of the basics that come with credit analysis including what data to consider, how to analyze the data, when to introduce benchmarking and automation and other topics.
This ppt is all about the long term finance for the business. From which sources a business firm used to get their long term finance to run the business. So i hope it will help you to give your presentation . Thanks for the download. And if you find any mistake, please feel free to comment and inform.
or send me a mail in tatinpisa@outlook.com
What is Finance, Approaches to finance function, Traditional approach, Modern approach, Limitations Of Traditional Approach, Profit maximization approach, Wealth Maximisation approach,
This slide is about Short Term Financing. I prepared it for my class presentation at the course FIN101. All the information in this slide collected from various kind of sources.
this slide will give you a brief idea about cash management and motives for holding cash...its very simple slide...you can easily understand the context with the help of pictures
Factoring is a financial transaction and a type of debtor finance in which a business sells its accounts receivable (i.e., invoices) to a third party (called a factor) at a discount. Factoring is commonly referred to as accounts receivable factoring, invoice factoring, and sometimes accounts receivable financing.
There are three parties directly involved: the factor who purchases the receivable, the one who sells the receivable, and the debtor who has a financial liability that requires him or her to make a payment to the owner of the invoice.
There are various types of factoring:
Recourse, Non - recourse, maturity and cross - border factoring.
Commercial credit analysis can introduce a lot of complexities into the banking organization: additional underwriting standards, new financial data to collect and interpret, complex relationships with multiple entities and commingled incomes, additional regulatory focus, etc.
Sageworks Senior Consultant Peter Brown covers some of the basics that come with credit analysis including what data to consider, how to analyze the data, when to introduce benchmarking and automation and other topics.
This ppt is all about the long term finance for the business. From which sources a business firm used to get their long term finance to run the business. So i hope it will help you to give your presentation . Thanks for the download. And if you find any mistake, please feel free to comment and inform.
or send me a mail in tatinpisa@outlook.com
What is Finance, Approaches to finance function, Traditional approach, Modern approach, Limitations Of Traditional Approach, Profit maximization approach, Wealth Maximisation approach,
This slide is about Short Term Financing. I prepared it for my class presentation at the course FIN101. All the information in this slide collected from various kind of sources.
this slide will give you a brief idea about cash management and motives for holding cash...its very simple slide...you can easily understand the context with the help of pictures
Factoring is a financial transaction and a type of debtor finance in which a business sells its accounts receivable (i.e., invoices) to a third party (called a factor) at a discount. Factoring is commonly referred to as accounts receivable factoring, invoice factoring, and sometimes accounts receivable financing.
There are three parties directly involved: the factor who purchases the receivable, the one who sells the receivable, and the debtor who has a financial liability that requires him or her to make a payment to the owner of the invoice.
There are various types of factoring:
Recourse, Non - recourse, maturity and cross - border factoring.
Sources of Finance in entrepreneurship.pptxNaishana
In business, financing plays a crucial role in enabling growth and operations. Common sources of finance include equity financing, where funds are raised by selling ownership stakes in the company to investors, and debt financing, which involves borrowing money typically from banks or financial institutions with the promise of repayment with interest. Additionally, businesses may opt for alternative sources such as venture capital, where investors provide funds in exchange for equity and often offer expertise and guidance, or crowdfunding, where funds are raised from a large number of individuals online. Each source of finance has its advantages and considerations, and businesses often utilize a combination of these options to meet their specific needs and objectives.
History behind the Honda company. product line. problem generated. manufacturing. analysis using BCG. Strategies adopted by Honda like corporate level strategy, business level,etc. Marketing strategies. Success story.
Fly ash bricks used to construct masonic structures, buildings, bridges,etc. Help to understand difference between red bricks and fly ash bricks. SWOT analysis of fly ash bricks. pricing methods. Payment terms. applications.
when will pi network coin be available on crypto exchange.DOT TECH
There is no set date for when Pi coins will enter the market.
However, the developers are working hard to get them released as soon as possible.
Once they are available, users will be able to exchange other cryptocurrencies for Pi coins on designated exchanges.
But for now the only way to sell your pi coins is through verified pi vendor.
Here is the what'sapp contact of my personal pi vendor
+12349014282
The secret way to sell pi coins effortlessly.DOT TECH
Well as we all know pi isn't launched yet. But you can still sell your pi coins effortlessly because some whales in China are interested in holding massive pi coins. And they are willing to pay good money for it. If you are interested in selling I will leave a contact for you. Just what'sapp this number below. I sold about 3000 pi coins to him and he paid me immediately.
+12349014282
Abhay Bhutada Leads Poonawalla Fincorp To Record Low NPA And Unprecedented Gr...Vighnesh Shashtri
Under the leadership of Abhay Bhutada, Poonawalla Fincorp has achieved record-low Non-Performing Assets (NPA) and witnessed unprecedented growth. Bhutada's strategic vision and effective management have significantly enhanced the company's financial health, showcasing a robust performance in the financial sector. This achievement underscores the company's resilience and ability to thrive in a competitive market, setting a new benchmark for operational excellence in the industry.
What website can I sell pi coins securely.DOT TECH
Currently there are no website or exchange that allow buying or selling of pi coins..
But you can still easily sell pi coins, by reselling it to exchanges/crypto whales interested in holding thousands of pi coins before the mainnet launch.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and resell to these crypto whales and holders of pi..
This is because pi network is not doing any pre-sale. The only way exchanges can get pi is by buying from miners and pi merchants stands in between the miners and the exchanges.
How can I sell my pi coins?
Selling pi coins is really easy, but first you need to migrate to mainnet wallet before you can do that. I will leave the what'sapp contact of my personal pi merchant to trade with.
+12349014282
Understanding how timely GST payments influence a lender's decision to approve loans, this topic explores the correlation between GST compliance and creditworthiness. It highlights how consistent GST payments can enhance a business's financial credibility, potentially leading to higher chances of loan approval.
5 Tips for Creating Standard Financial ReportsEasyReports
Well-crafted financial reports serve as vital tools for decision-making and transparency within an organization. By following the undermentioned tips, you can create standardized financial reports that effectively communicate your company's financial health and performance to stakeholders.
BONKMILLON Unleashes Its Bonkers Potential on Solana.pdfcoingabbar
Introducing BONKMILLON - The Most Bonkers Meme Coin Yet
Let's be real for a second – the world of meme coins can feel like a bit of a circus at times. Every other day, there's a new token promising to take you "to the moon" or offering some groundbreaking utility that'll change the game forever. But how many of them actually deliver on that hype?
2. Elemental Economics - Mineral demand.pdfNeal Brewster
After this second you should be able to: Explain the main determinants of demand for any mineral product, and their relative importance; recognise and explain how demand for any product is likely to change with economic activity; recognise and explain the roles of technology and relative prices in influencing demand; be able to explain the differences between the rates of growth of demand for different products.
Seminar: Gender Board Diversity through Ownership NetworksGRAPE
Seminar on gender diversity spillovers through ownership networks at FAME|GRAPE. Presenting novel research. Studies in economics and management using econometrics methods.
2. INTRODUCTION
– A current asset is either cash or an asset (e.g. stock) that can be
converted into cash within a year and is often used to pay off current
liabilities.
– Current assets typically include categories such as cash, marketable
securities, short-term investments, accounts receivable , prepaid
expenses, and inventory.
– Current assets of enterprises may be financed either by short-term
sources or long-term sources or by combination of both.
– The long term source of finance provides support for a small part of
current assets requirements which is called the working capital
margin.
– Short-term financing of current assets includes sources of short-
term credit, which a firm is mostly required to arrange in advance.
Short-term bank loans, commercial paper etc. are a few of its
components.
3. Approaches to Financing
Current Assets
• 1. Matching Approach
• Under this approach a match is established between the
expected lives of current asset to be financed with the source
of fund raised to finance the current assets. Thus, a ten-year
loan may be raised for financing machinery bearing expected
life of ten years. Similarly, one-month stock can be financed by
means of one-month bank loan. This is also termed as hedging
approach.
• 2. Conservative Approach
• Conservative approach takes an edge over and above matching
approach, as it is practically not possible to plan an exact
match in all cases. A firm is said to be following conservative
approach when it depends more on long-term financial
sources for meeting its financial needs.
• 3. Aggressive Approach
• As against conservative approach, a firm is said to be following
aggressive financing policy when depends relatively more on
short-term sources than warranted by the matching plan.
Under this approach the firm finance not only its temporary
current assets but also a part of permanent current assets with
short-term sources of finance.
4. 1. Spontaneous liabilities
2. Trade credit
3. Short term bank finance
4. Public deposits
5. Inter-corporate deposits
6. Short term financial assistance from
financial institutions
7. Commercial paper
Instruments in raising finance
5. Spontaneous
Liabilities
• Spontaneous liabilities are types of
funding that arise from the normal
operations of the firm.
• Types of Spontaneous Liabilities
Accounts Payable
Accruals – Wages Payable
-- Taxes Payable
6. Bank Finance:
The major source for financing current
assets is bank finance. The various
ways in which the banks finance
current assets are:
(1)Loan arrangement
(2) Overdraft arrangement
(3) Cash credit arrangement
(4) Bills purchased and bills
discounted
(5) Letter of credit
7. PUBLIC DEPOSIT
• Public deposits refer to the unsecured deposits
invited by companies from the public mainly to
finance working capital needs. A company
wishing to invite public deposits makes an
advertisement in the newspapers.
• Any member of the public can fill up the
prescribed form and deposit the money with the
company. The company in return issues a
deposit receipt.
• The rate of interest on public deposits depends
on the period of deposit and reputation of the
company.
• A company can invite public deposits for a
period of six months to three years. Therefore,
public deposits are primarily a source of short-
term finance.
• Public deposits of a company cannot exceed 25
per cent of its share capital and free reserves.
9. Trade credit
• Trade credit is an important external
source of working capital financing.
• It is a short-term credit extended by
suppliers of goods and services in the
normal course of business, to a buyer in
order to enhance sales.
• Trade credit arises when a supplier of
goods or services allows customers to
pay for goods and services at a later
date.
• Cash is not immediately paid and
deferral of payment represents a source
of finance.
10. Advantages and disadvantages of trade credit
• It is easy and automatic source of short-term finance.
• It reduces the capital requirement.
• It helps the business focus on core activities.
• It does not require any negotiation or formal agreement.
• Trade credit is available only to those companies that have a good
track record of repayment in the past.
• For a new business, it is very difficult to finance working capital
through trade credit.
• It is very expensive, if payment is not made on the due date.
Disadvantages
Advantages
11. Commercial
Paper
• WHAT: A Commercial paper is an unsecured short term debt
instrument issued by corporation typically for meeting short
term liabilities.
• WHY: It provides the organization a borrowing option other
than a bank.
• WHEN: CP’s are issued or sold when an organization needs to
borrow money for its short term needs.
• Who can invest Invest in CP’s:
o Individuals
o Banks
o Corporates
o Non Resident Indians
o Foreign Institutional Investors
• Who can issue CP’s:
o Corporates
o Non Banking Financial Company
o Financial Institutions
o Prior Approval of RBI is required
o Entity has to go through with Credit rating process
12. – Benefits:
o Low Interest Expenses
o No collaterals required
o It does not need to be registered with the SEBI
– Example:
o Say Future Group, the owner of large retail store like Big Bazaar wishes
to raise funds from the market to raise funds from the market to
purchase its merchandise
o If it were to go to a bank for a loan, then it would probably have to pay
around 15% interest on the loan, but from the open market it could
perhaps get the loan at only 10%.
o Hence by resorting to an instrument like CP, the organization gain 5%.
Benefits & Example
13. Inter Corporate
Deposits
• Inter Corporate Deposits indicates
unsecured short term funding raised by
one company from another company.
They are dependent on personal contacts.
• 1) They are for a very short period of
time i.e 3 months or 6 months.
• 2) They are unsecured source for raising
funds.
• 3) They are not regulated by any law.
• 4) It is a relationship based borrowing
made by the company.
• 5) They involve high risk and high returns
• 6) Useful in solving temporary capital
crisis.
14. Such deposits are of three types:
1. Call Deposit:
Such a type of deposit is withdrawn by the
lender by giving a notice of one day. However, in
practice, a lender has to wait for at least 3 days.
2. Three-month Deposit:
As the name suggests, such type of a deposit
provides funds for three months to meet up
short-term cash inadequacy.
3. Six-month Deposit:
The lending company provides funds to another
company for a period of six months.
15. Fund based Assistance of Commercial Banks:
Fund based assistance is in the form of credit and loans directly extended by the
commercial banks to the exporters at different stages of export procedure. The fund
based assistance of commercial banks includes:
(a) Pre-shipment Finance: Pre-shipment finance refers to the credit extended to
exporters prior to the shipment of goods for the execution of export orders. It
is also known as 'Packing Credit’.
(b) Post-Shipment Finance: Post-shipment finance (short-term) refers to
the credit extended to exporters after the shipment of goods for meeting
working capital requirement.
(c) Finance against deferred Payment Export: Export of goods or services against
to be received partly or fully beyond the period statutorily prescribed for
of export proceeds are treated as deferred payment’ exports. Finance against
payments is referred to as Deferred Credit. Commercial rate of interest
with the EXIM Bank.
Quotes by Finance:
"The campaign finance scandal in America is the global warming of American political life - with cash substituting for deadly solar radiation."
"One of the main reasons that the landscape of financial stuff in America is different is that gambling is illegal there. So there's a kind of sport-like aspect to the American coverage of finance."
"I could not finance a movie on my own. Frankly, I could not even afford to take a year off. I, like most people in America, need to keep making money."
"I now work for a finance company in Luxembourg with projects in South America and the Caribbean."
"We have this film that we hope to finance, it's called 'Southern Rights.' It's a documentary about segregated proms that are still happening in the South of America. So there's a black prom and a white prom, so we hope to finance a film soon about that."
"America's sanctions policy is largely consistent and, in a certain sense, admirable. By applying economic restraints, we label the most oppressive and dangerous governments in the world pariahs. We wash our hands of evil, declining to help despots finance their depredations, even at a cost to ourselves of some economic growth."
"What, for me, was exciting about America was just this extraordinary, complex, difficult, fascinating country, and Britain can feel very small. London, in particular, feels small because everything happens there, so you have publishing, politics, you have finance; everything in Britain happens in London."
"World's major powers, including China and Russia, don't want to 'finance' American military adventures anymore."
"The Republican Party is not in the hands of the Jewish lobby in America as the Democratic Party must look quite often to Jewish money to finance candidates."
"Any constitutional amendment that simply gives Congress the option of regulating campaign finance fails to immediately achieve what the American people want, and that is a complete reversal of Citizens United and other Supreme Court decisions that have allowed corporations and the wealthy few to drown out the voices of everyday voters."