Yes - unfortunately you didnt borrow a car, you borrowed money. Your car has depreciated faster than you have paid off your loan it is your responsibility to pay the rest not the finance companies.
It may vary by state, but in most palces you are responsible for the negative equity.
No
Finance equity refers to the residual claimant or interest of the major type of investors in assets after paying off all the liabilities. Negative equity exists if liability is more than assets.
To compute for ROE if there is loss and negative equity, divide the company's net income by the stockholders' equity. A negative ROE does not necessarily mean bad news.
similarities between equity n debt finance
it cant be said in direct form whether finance or equity without knowing the nature of company's business, mkt risk, past holdings, position of competitors, and so many. but even then we can say dat if a company is with good market share and strong and well managed financial condition the company can go for equity in the first instance but debt wil b more beneficial because of lower cost .
Equity in finance refers to the residual value of assets. The term equity can also be used in association with accounting.
what is the equity percent needed to finance a business
# By Issuing Equity Shares or # By Issuing Corporate Bonds
Lease or retail installment loan-dosen't matter. You call your lienholder, get your pay-off and sell your car. If your pay-off is greater than what you are selling the car for, "you" simply pay that "negative equity" to your lienholder. If you sell your car for $15,000.00 and you owe $20,000.00 you have to pay your finance company $5000.00 and you are done. The $5000. is called negative equity.
equity risk premium
Weighted average cost includes all types of finances company uses to finance it's business like equity finance, debt finance, loan or debenture etc.