Sources of finance Flashcards

1
Q

Additional sources of finance information

(Equity and Debt)

A
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2
Q

General notes

A
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3
Q

General things when discussing sources of finance

A
  • Too much debt = Highly geared
  • ROE>ROA Positive financial leverage
  • CASH_Company should consider their need for the cash, whether it may stretch or compromise their operating activities
  • SURPLUS
  • DILUTE
  • EXTENT
  • DEBT
  • CAPACITY
  • TAX
  • AVAILABILITY
  • INTEREST
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