Furthermore, investment banks are major players in the primary public market because both IPOs and SEOs/SPOs require their underwriting services. The private placement market allows companies to raise private equity through unquoted shares. It provi... Read more
You also need to understand what debits and credits are before you can start to enter any transactions. Any transaction posted in your ledger or your accounting software will be a debit or a credit. This guide is designed to simplify the bookkeeping... Read more
The function of a P & L statement is to total all sources of revenue and subtract all expenses related to the revenue. It shows a company's financial progress during the time period being examined. Profit and loss are crucial topics in Quantitat... Read more
A high level of dry powder also protects the company when it anticipates the demand for its product and services to fall. This means that the company will experience a decline in the annual revenues and, hence, net profits. The company will need add... Read more
A statement of accounts is a document that reflects all transactions that took place between you and a particular customer for a given period of time. Generally business owners send statements of accounts to their customers to let them know how much... Read more
Typically, an average of historical risk premiums is used, and there are a lot of them to choose from. Based on the assumptions, you will be paid 7.08% for the risk of the mutual fund. The risk premium tells you how much you're getting paid to take... Read more
The legality of a dividend generally depends on the amount of retained earnings available for dividends—not on the net income of any one period. Firms can pay dividends in periods in which they incurred losses, provided retained earnings and the cas... Read more
Credit card companies are allowed to advertise interest rates on a monthly basis, but they must clearly report the APR to customers before they sign an agreement. APR only works when you know that you will pay the loan in full term. If you plan to r... Read more
The current balance (also called the credit card balance) reflects the current amount of all charges and payments made to your account up to that day. Just like the statement balance, it includes fees, interest, penalties and credits, as well as any... Read more
This is crucial for taxes as well as personal liability protection. Regardless of the type of business you run, all business owners should write a business plan. Kelly is an SMB Editor specializing in starting and marketing new ventures. Before join... Read more
