answersLogoWhite

0

What else can I help you with?

Continue Learning about Finance

What are the possible ways to increase debt-equity ratio?

The debt-to-equity ratio is a very simply calculation. Just divide a company's outstanding debt at a given date (usually quarter-end or year-end) by the company's equity on that same date. So, to increase this ratio, you would need to either increase the debt balance (i.e. borrow more) or decrease the equity balance (i.e. pay a dividend). Keep in mind, while increasing the debt-to-equity ratio will increase the ROE (return on equity) for a company, it also increases risk. Additionally, most banks include covenants in their loans that limit the debt-to-equity ratio for their customers (thereby making certain that the company has an equity "cushion" should an economic downturn occur).


Is a money market fund the same as a mutual fund?

A money market fund is a mutual fund, but behaves a little different than most fund.


What is the difference between a mutual fund and a bond mutual fund?

A Bond mutual fund is a type of mutual fund that invests in bonds and other government securities that are safe and have a fixed rate of return. Whereas the term mutual fund per say refers to equity mutual funds in most cases which invest in the stock market.Bond mf's are safer whereas equity funds come with a certain risk component but at the same time the returns on equity funds are much higher when compared to bond fundsAnswer:Bond funds are investment vehicles that are meant specifically for people who are looking for low risk investment options, but want higher returns than they would get from a fixed deposit. The NAVs of most bond funds don't fluctuate as much as equity funds. Bond mutual funds invest in bonds issued by the government or corporate houses. Mutual funds investment involves a group of investors pooling in their money to invest in securities, which could be stocks or bonds. Mutual funds are considered a low risk-high return investment vehicle. If you're interested in mutual fund investment, you may want to get some professional advice.


What type of annuity credits an individual with a return that is based on changes in an index?

This would be called an indexed annuity or an equity indexed annuity both meaning the same thing.


Is the book value the same as stockholders' equity?

Book Value and Shareholder Equity are not quite the same thing. To find a company's book value, you need to take the shareholders' equity and exclude all intangible items. This leaves you with the theoretical value of all of the company's tangible assets (those which can be touched, seen, and felt). For this reason, book value is sometimes also called "Net Tangible Assets". http://beginnersinvest.about.com/cs/investinglessons/l/blles3bkvalue.htm

Related Questions

Is shareholders fund same as total equity?

Yes shareholders fund is same as equity and these are different names of same thing.


Is shareholders fund the same as shareholder equity?

yes


Attractions to an investors in private equity fund?

An investor could get attracted to a private equity fund due to a variety of reasons... Some are: * Fund house credibility and reputation * Past performance of similar funds from the same fund house * Fund managers capability * Tax benefits * etc...


Is stockholders equity a debit or credit?

Stockholders equity is same as owners equity which has credit balance because both are forms of capital for business and capital also has credit balance because it is the liability for business to payback to it’s owner’s that’s why stockholders equity is also credit balance.


What does Total liabilities and equity equal on a balance sheet?

Total equity does not include total liabilities so both are not same


Are equity release schemes the same thing as a reverse mortgage?

Yes they are the same thing. They both pay you monthly sums in return for an interest in your equity, or property. Usually, equity release schemes are engineered for the elderly so that they have a steady income every month.


Why did European merchants fund the crusades?

Why do you spend money at an arcade? Same thing.


Is the owner's equity the same as the assets?

No. A Balance Sheet consists of Assets = Liabilities + Owner's Equity. Owner's Equity is increased by profits and contributed capital and is decreased by losses and capital withdrawals. Example of a very simplified Balance Sheet - Assets 150,000 Liabilities 50,000 Owner's Equity 100,000 Total 150,000


Is Government operating balance and Budget balance the same thing?

sorry not Budget deficit... budget balance


Is retained earnings and sales revenue the same thing?

Answer:No. Retained earnings are the past earnings that have not been paid out as a dividend. It is part of equity, on the credit side of the balance sheet. The balance sheet is at a point in time (at a date) Sales revenue is measured over a period, and is shown on the income statement.


What is the significant difference between a Employees Provident Fund and a General Provident Fund in Indian Context?

Nothing because they both refer to the same thing


Is Government operating balance and Budget deficit the same thing?

sorry not Budget deficit... budget balance