(Corporate Finance) What do we mean when we refer to agency costs?

Q: What are the measurement alternatives involved with using ROA as a performance measure? For example,…

A: The return on asset is the financial ratio that is used by the company in order to analyse how…

Q: What do we mean by "capital costs," how do we explain them, and how are they different from…

A: There are different types of cost namely capital cost and another one is operational cost.Capital…

Q: production cost is liability or equity?

A: Production or cost of the product shall refer to the cost incurred by the business of making the…

Q: How is the the financial ratio analyses very useful?

A: Ratio analysis is a method of relative measure between two numericals for gaining knowledge about a…

Q: Why is it necessary to make a distinction between Capital and Revenue Receipts and Capital and…

A: Capital receipts: These receipts are income that is earned from the investment and financing…

Q: Please answer the question as follow? Profit Maximize and Wealth Maximize, what is difference?…

A: financial management is important because it helps organizations plan, organize, direct, and control…

Q: Why profit shows as liability and loss shows as asset?

A: The assets and expenses have the debit normal balance. The liabilities and revenue have credit…

Q: why is there a need to use different financial tools and techniques?

A: Financial statement analysis- It is the process of reviewing and analyzing financial statements to…

Q: Who benefits the least from accounting regulation? Why?

A: The entity engages in day-to-day operations to provide goods and services to the customers and as a…

Q: What is “fair value”? Consider whether it is really helpfulwhen reporting financial results. Give…

A: Fixed assets: These include all the assets that are of tangible nature and have an expected useful…

Q: What are the differences between negative goodwill and positive goodwill, and how are they treated…

A: A company's brand, reputation, customer base, and other intangible elements are all valued as part…

Q: How are organization expenses reported?

A: Expense: It can be defined as the cost of running a company's operations to generate or earn…

Q: What is opportunity cost and how does it affect the decision-making process for business decisions?

A: Discuss the opportunity cost and the way how it affects the decision making process for business…

Q: What is the meaning of capital costs, how are they described, and how are they different from…

A: Capital costs are one-time expenses for the creation, improvement, or purchase of assets like…

Q: Why do you think factoring commission is collected upfront ?

A: By factoring, a company can obtain the short-term cash it needs by selling its accounts receivable…

Q: Give a breakdown of the sources of income and categories of costs for a financial organization.

A: Banking institutions are one of the key financial institution of the economy. They primarily receive…

Q: What are BreadTalk Group’s main revenue generators?

A: BreadTalk Group is a snack and beverage company based in Singapore. It was founded in the year 2000.…

Q: Explain the difference between financial capital and physical capital

A: Every type of business id defined by its assets. These assets can be classified as financial capital…

Q: Explain the objective of Financial Reporting

A: Financial reporting is an accounting practice where the organization discloses the financial results…

Q: Cost of Money is influenced by different factors”. What are those? How the cost of money is…

A: The cost of money or cost of capital is the minimum return a project has to generate for being…

Q: Why is treasury considered a profit centre. What are the revenues and expense

A: In finance profit center refers to that branch or division that adds, in a direct manner, to an…

Q: Who benefits the most from accounting regulation? Why

A: Accounting Regulations means the accounting laws, statutes, regulations, rules, standards and…

Q: Why are people willing to pay financial intermediaries their transaction costs, at our expense?

A: The question is based on the concept of function and operation of intermediaries in financial…

Q: standard setters?

A: Earnings management for contracting causes would be an interest in standard setters because of the…

Q: what is meant by Profit and Cashflow and how they are different?

A: Each and every business organization deals in either goods or offering services to their customers…

Q: In accounting terms, what is the difference between profit and loss

A: Accounting is based on the principle of double-entry. It may be described as how a company records…

Q: ompanies allocate costs? What are some of th

A: The process by which a firm allocates and assigns its different expenses or costs to certain goods,…

Q: Fair value is a more relevant measure to use in Financial Reporting than Historical Cost. Discuss

A: Introduction: Fair value accounting refers to the practice of valuing your company's liabilities and…

Q: How does the cost system affect the financial position of the firm?

A: Cost system is the system which is designed to evaluate the monitor the cost incurred by the…

Q: To understand how money affects society, we need to take into account transaction costs.

A: Cost of the transaction: It refers to the costs spent as a result of the purchase or sale of…

Q: How can we use ratios to make Business Decisions?

A: There is lots of information in the financial reports summed up in numbers. We might not have…

Q: What is the difference between a cash basis and an accrual basis measure of performance?

A: Cash Basis :- It is an Accounting Method where Revenue and Expense are identify at the time of…

Q: What are some limitations of financial performance measures?

A:

Q: financial statement analysis

A: Financial statement analysis deals with the analysis of the core financial statements of a company…

Q: Define the term Capital (Ownership) Costs?

A: The money value of goods and services consumed by the consumers and purchased by the producers is…

Q: How is Profit Margin calculated and what does It measure?

A: Note: Since you have asked multiple questions, we will solve the first question. To get the…