Financial literacy is crucial for making informed decisions, whether in personal finance or business. Understanding key financial concepts helps individuals manage money wisely and businesses maximize profits. Here are ten essential financial concepts that everyone should know. 1. Cost of Goods Sold (COGS) and Gross Profit Cost of Goods Sold (COGS) represents the direct expenses …
Investing wisely is the key to financial growth, whether for individuals or businesses. Making the right investment decisions requires an understanding of fundamental financial concepts such as the Time Value of Money (TVM), Net Present Value (NPV), Internal Rate of Return (IRR), and Share Valuation. These concepts help investors and business managers evaluate different investment …
Evaluating NPV, Time Value of Money & Share Valuation with Solved Examples Read More »
Mr. Joshi is the Finance Manager at M/s Vriddhi Impex. The Company is looking at lateral growth and diversification into garment making from cloth making. For doing this, there needs to be put up a factory with all the latest machinery for cutting and stitching garments. The cost of acquisition of land, setting up the …
Time Value of Money & Investment Analysis: Solved Problem Read More »
Corporate finance is a cornerstone of business education, providing the tools and frameworks necessary for making critical financial decisions within a corporation. Whether you’re a student pursuing a Bachelor of Business Administration (BBA), Bachelor of Commerce (BCom), Master of Business Administration (MBA), Master of Management Studies (MMS), or preparing for competitive exams, a solid grasp …
Introduction to Corporate Finance: Key Topics for Students Read More »
With the following information, calculate Degree of Operating, Financial and Total Leverage. Sharma & Co. had a sales of Rs. 25, 00,000 in their jewellery making business. That year they sold 15,000 units. The cost of production was as follows: Raw Material 450000 Labour 750000 Factory Overheads Fixed 120000 Variable 85000 Further the company incurred …
NMIMS Assignment – Corporate Finance for April 2024 Read More »
Solution: Calculating the Weighted Average Cost of Capital (WACC) for M/s Antara Limited: Market Value of Equity: Market Value of Equity = Share Price * Number of Shares Outstanding Since the share price of M/s Antara Limited at the beginning of the year was Rs. 50 and end of the year was Rs. 55 per …
Corporate Finance Solution for NMIMS December 2023 Assignment Read More »
STRATEGIC CORPORATE FINANCE Strategic corporate finance is a crucial aspect of managing and growing a business. It involves making financial decisions that align with a company’s overall strategic goals and long-term vision. This approach goes beyond mere financial planning and focuses on integrating financial considerations into the broader strategic framework of the organization. Strategy vs. …
Q2. What is a Cash Cycle? Explain. Calculate using the following information. (Assume 360 days in a year). (10 Marks) Opening Balances Raw Material 1,00,000 WIP 45,000 Finishes Goods 1,35,000 Debtors 6,00,000 Creditors 8,60,000 Closing Balances Raw Material 2,00,000 WIP 65,000 Finishes Goods 1,25,000 Debtors 5,45,000 Creditors 9,75,000 Costs …
