After reading this article you will learn about Finance Functions of Business:- 1. Meaning of Finance Function 2. Objectives of Finance Function. Meaning of Finance Function: "Finance is that administrative area or set of administrative functions in an organisation which relate with the arrangement of cash and credit, so that the organisation may have the means to carry out its [...]
After reading this essay you will learn about:- 1. Meaning of Capitalisation 2. Theories of Capitalisation 3. Types. Essay # Meaning of Capitalisation: A.S. Dewing says, "the term capitalisation or the valuation of capital includes the capital stock and debt." Attention is focused on the quantitative aspect only. In this sense, it includes ownership capital and the borrowed capital as [...]
This article throws light upon the eight important requisites of a sound capital plan. The requisites are: 1. Estimates of Financial Needs 2. Flexibility 3. Optimum Use of Funds 4. Liquidity 5. Mode of Finance 6. Simplicity 7. Planning Foresight 8. External Influences. Sound Capital Plan: Requisite # 1. Estimates of Financial Needs: Promoters must have accurate estimates of financial [...]