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A bond is a liability that is recorded on the balance sheet as part of long term liabilities.
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∙ 14y ago
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Difference between on balance sheet financing and off balance sheet financing?
In off-balance sheet financing assets are not shown in balance sheet while in balance sheet financing fixed assets shown in balance sheet.
What is the difference between contingent liability and off balance sheet liability?
There is no difference between Contingent Liability and Off Balance Sheet Liability.
When do leases provides off balance sheet financing?
Operating lease provide the off balance sheet financing because in that case company enjoys to use the asset but it is not shown in balance sheet which keeps the ratios in favourable conditions.
What is off balance sheet items?
Off balance sheet items means assets which is used by business but not shown in business like lease asset etc.
Is factoring a off balance sheet item or not?
The off balance sheet allows small business to manage cash flow and credit certain risk. Factoring is the practice in which a small business receives a increase cash flow in their accounts receivable from a third party lender. This decreases their profit margins and lowers the amount the can borrow in the future.
Is Loan on balance sheet or off balance sheet?
Loan is on balance sheet
Difference between on balance sheet financing and off balance sheet financing?
In off-balance sheet financing assets are not shown in balance sheet while in balance sheet financing fixed assets shown in balance sheet.
Off balance sheet activities?
Off balance sheet activities are those activities which do not show any impact on balance sheet like operating lease in which company uses the assets but not shown in balance sheet.
What are the off balance sheet financing?
Off balance sheet financing means those agreement due to which asset is used by business but no affect on balance sheet like operating lease.
What is the difference between contingent liability and off balance sheet liability?
There is no difference between Contingent Liability and Off Balance Sheet Liability.
When do leases provides off balance sheet financing?
Operating lease provide the off balance sheet financing because in that case company enjoys to use the asset but it is not shown in balance sheet which keeps the ratios in favourable conditions.
What is off balance sheet items?
Off balance sheet items means assets which is used by business but not shown in business like lease asset etc.
Is factoring a off balance sheet item or not?
The off balance sheet allows small business to manage cash flow and credit certain risk. Factoring is the practice in which a small business receives a increase cash flow in their accounts receivable from a third party lender. This decreases their profit margins and lowers the amount the can borrow in the future.
How does the financial crisis impact the balance sheet?
Accounting Standards regarding off-balance sheet items are going to be tigtened in the forseeable future.
Are loan commitments an off balance sheet items?
yes
Is Operating leases considered to be a spontaneous source of financing?
I don't know if spontaneous is the right word; but they are considered by some to be a type of "off-balance sheet" financing. The reason for this is because very often, companies lease an item with the intent of eventually owning that item. An operating lease does not create a liability on the balance sheet the way financing an asset would. That being said, an asset that is being "financed" through a lease should more correctly be classified as a capital lease, which does create a balance sheet liability.
What has the author Richard De Metz written?
Richard De Metz has written: 'Off balance sheet finance' -- subject(s): Business enterprises, Finance, Off balance sheet financing
