BST CHAPTER 9

FDI

CAPITAL BUDGETING DECISON, WORKING CAPITAL DECISON

RIC

SRCC CFL, State of capital market, Risk, Cash flow position, Control considerations, Cost, Floatation costs, Level of fixed operating costs

GLASSES CTCS, Growth opportunities, Legal constraints, Access to capital market, Shareholders' preference, Stock market reaction, Earnings, Stability of earnings, Cash flow position, Taxation policy, Contractual constraints, Stability of dividend

Ensures availability of sufficient funds at reasonable Cost, Ensures effective utilisation of funds, Ensures safety of funds procured by creating reserves, reinvesting profits

ST CNG DLF, Scale of Operations, Technology Upgradation, Choice of technique, Nature of Buisness, Growth Prospects, Diversification, Level of Collaboration, Financing Alternatives

Flexibility, Interest Coverage Ratio (ICR), Risk Consideration, Stock Market Conditions, Tax Rate, Floatation Costs, Regulatory Framework, Return on Investment, Debt Service Coverage Ratio (DSCR), Cost of Equity, Cost of Debt, Cash Flow Position, Control, Capital Structure of other Companies, FIRST FRR DCCCCC

SCALPING COBS, Scale of Operations, Credit Availed, Availability of Raw Material, Level of Competition, Production Cycle, Inflation, Nature Of buisness, Growth Prospects, Credit Allowed, Operating Efficiency, Buisness Cycle, Seasonal factors

SFESC, Preparation of Sales Forecast, Preparation of Financial Statements, Estimation of Expected Profits, Estimation of Sources of External Funds, Prepration of Cash Budget

CALL HRM 📞 🤙, Coordinating Different Functional Areas of Buisness, Avoiding Buisness Shocks And Surprises, Link present With Future, Link BETWEEN investment and financing decisions on a continous Basis, Helps the company to prepare for the future, Reduce waste, duplication of efforts, and gaps in planning, Makes the evaluation of actual performance easier

Long Term Financial Planning, Short Term Financial Planning

To Maximise Shareholders Wealth (also known as Wealth Maximisation Concept)

Efficient Cash Management, Efficient Inventory Management, Efficient Receiviables Management