What is leasing? A lease is referred to as a contract in which the property owner allows another party to use the property (or asset) in exchange for something. Leasing continues to be the top choice of financing for companies, primarily because of the fact that it helps companies to take full utility of the …
Leasing: Definition, Types of Leasing, and How do Leases work? Read More »
What is Mortgage Underwriting? In simple terminology, mortgage underwriting can be defined as a risk assessment that is undertaken by the lender to assess the underlying probability of the debtor not honoring the particular loan. Before a loan is formally extended, it is imperative for the mortgage underwriter to ensure that the creditworthiness of a …
An idle time is a time for which the business has paid to generate some value but the time remains ineffective/unproductive even after consumption of the resources. An idle time acts as a parasite because it consumes the resources of the business and provides nothing in return. An idle can be controllable and uncontrollable depending …
The return on marketing investment- (ROMI) measures the efficiency of the marketing function. It’s used to assess the performance of the marketing function by measuring the change in the revenue with an increase in the marketing expenses. Effective marketing is expected to increase sales and direct the business on the horizon of exponential growth and …
Return On Marketing Investment – Formula, Example, and More Read More »
Definition A coverage ratio can be defined as a measure of the company’s ability to pay back its debt and meet its financial obligations. In this regard, coverage ratio is used as a determinant to gauge the overall efficacy of the company in terms of their financial standing in line with the ability to meet …
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What is Hybrid Financing? In the modern-day and age, obtaining finances at an effective rate is paramount to the success of the business. In this regard, it is important to realize the fact that there are numerous different mechanisms that the organization has pertaining to sourcing finance for various purposes. In the recent past, hybrid …
Hybrid Financing – Definition, Types, Advantages, and More. Read More »
Overview Equity Shares are referred to as one of the most important sources of finance from the perspective of the company. Companies mostly issue equity shares as a means of long-term external financing, that helps them to meet their respective aims and objectives, either pertaining to expansion, or some other need. Furthermore, it is also …
What are Equity Shares? Types, Advantages, and More Read More »
Budgetary control is a concept of financial accounting that helps to oversee the payments and receipts within an organization. It provides a greater tool to plan, monitor, and control financial activities within an organization. The concept of budgetary control can be linked with liquidity and management of the cash flow. However, the concept of budgetary …
Budgetary control – Concept, Objectives, Types, And More Read More »
Overview Cash Flows are considered to be one of the most important financial metrics within the company. As a matter of fact, it is highly important to consider the fact that it mirrors the overall ability of the company to not only pay their day-to-day operations but also have sufficient cash in order to finance …
Levered Cash Flow Vs. Unlevered Free Cash Flow – What Are the Different? Read More »
NPR and NCR are the mathematical notation of two important concepts in mathematics, referred to as permutations and combinations. Both these concepts are similar in terms of what they mean to achieve, yet they are also different on a number of grounds. Permutation – what are they? A permutation is referred to as a mathematical …
NPR Vs. NCR – What Are they? And What Are the Different? Read More »
