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The cost of capital is defined as the rate of return that is necessary to maintain the market value of the firm (or price of the...
The corporation financial manager is concerned with selecting the best possible source of financing based on the facts of the situation. This post describes various circumstances...
Owner’s equity represents the residual claims of the owners to the assets of the business and sometimes is referred to as net assets or net worth....
In general, there are two types of financing options: (1) debt and (2) equity. Essentially, every type of financing choice is based on one of these...