Beruflich Dokumente
Kultur Dokumente
1. Methods of Financing
a) Equity Capital owned
b) Borrowed or Debt capital
2. Working Capital
a) Initial Working Capital
b) Regular Working Capital
3. Types of Business Organizations
II.
-
VALUE OF A BOND
- the present worth of all the amounts the
bondholder will receive through his
possession of the bond
Types of Payment:
Dangers of a Corporation
1. Dishonesty of Promoters
2. Dishonesty of Management
3. Watering of Stock
4. Absentee Ownership
Types of Stocks:
1. Common Stock
- Exercise control by electing board
of directors and voting corporate
policy
2. Preferred Stock
- Class of ownership in a corporation
that has a higher claim on assets
and earnings
Dividends
-
BONDS
Types of Depreciation:
1. Physical Depreciation
2. Functional Depreciation
Depreciation Cost
Classifications:
I.
1. Single Payment
received at the date of maturity
o Final payment date of a loan
- Usually equal to the par value of
the bond
o Nominal value/face value of
a bond
2. Periodic Payment
Amount to be recovered
o Depreciation cost, FC SC or
FC SV
Salvage Value
o Second hand value
Scrap or Junk Value
o Amount to be sold for when
disposed off as junk
COMPOSITE DEPRECIATION
DEPLETION
-
Methods:
1. Factor Method
Depletion cost during any Year
ITEM DEPRECIATION
GROUP DEPRECIATION