Definitions of Finance - 1544 Words

Definitions for Finance FIN/370 February 24, 2014 Finance Definitions Finance – Is the study of people and business invest and raise capital to fund them. It is the study of how it addresses the following: 1. What long-term investments should the firm undertake?This area of finance is generally referred to as capital budgeting. 0 2. How should the firm raise money to fund these†¦show more content†¦Stockholders equity cannot be withdrawn from the company in a way that is intended to be detrimental to the companys creditors The role stock plays in finance are the representation of value to an asset of a company that offers monetary value to the organization. Bond- A debt investment in which an investor loans money to an entity (corporate or governmental) that borrows the funds for a defined period of time at a fixed interest rate. Bonds are used by companies, municipalities, states and U.S. and foreign governments to finance a variety of projects and activities. The role of Bonds in finance are commonly referred to as fixed-income securities and are one of the three main asset classes, along with stocks and cash equivalents. Capital – 1.Financial assets or the financial value of assets, such as cash. 2. The factories, machinery and equipment owned by a business and used in production. â€Å"Capital† can mean many things. Its specific definition depends on the context in which it is used. In general, it role and refers to financial resources available for use. Companies and societies with more capital are better off than those with less capital. Debt- A debt is an obligation owed by one party (the debtor) to a second party, the creditor; usually this refers to assets granted by the creditor to the debtor, but the term can also be usedShow MoreRelatedDefinition Of Finance In Africa847 Words   |  4 Pagesstep across time. While the earlier book (Brautigam,2009 ) shows the general map of how China take actions in terms of finance in Africa, which is theoretic and lack of data support, the later article(Brautigam and Gallagher,2014 ) collects the officious data from 2003 to 2011 and focuses on the particular commodity-backed finance which is more specific in explaining the finance pattern: the Chinese government usually allows borrowers to repay these RMB loans with export goods, such as TanzaniasRead MoreThe Definition Of Personal Finance1656 Words   |  7 PagesThe definition of personal finance is often defined as being the application of financial principles within an individual or family unit. Such application includes : budgeting, saving, spending, and assessing risks. Evidently, such financial management is of great importance. Therefore, in this paper, I will provide an overview of an individual’s personal finances by referencing their investment style and briefly stating their financial objective. In addition, I will provide some recommendations saidRead MoreThe Definition Of Source Code1154 Words   |  5 PagesThere are several definition of source code, which makes regulating it difficult because different regulators may have varying conceptions of just what it is, and as a result, what kinds of rules should attach to it. The general definition of source code that most people acknowledge is â€Å"the version of software as it is originally written by a human in plain text† (Source Code). According to this definition, code is written by humans in order to create software, which can be any operating system,Read MoreBrief Description Of Different Leasing Options1213 Words   |  5 Pages(Investopedia, no date). Now to describe the different leasing options†¦ According to e-Finance Management, there are a list of leasing options, the following a list of lease options with a brief description: ï‚ § Finance Lease and Operating Lease: Finance Lease, also known as Full Payout Lease, is a type of lease wherein the lessor transfers substantially all the risks and rewards related to the asset to the lessee (e-Finance Management, no date). ï‚ § Sale and Lease Back and Direct Lease: In the arrangementRead MoreFinance Term and Roles1016 Words   |  5 PagesGrover In finance there are many terms that one has to know and understand in order to know what to do. Some terms are more important than others and some you need to know in order to have an understanding of the basics of finance. Some of the important terms are finance, efficient market, primary market, secondary market, risk, security, stock, bonds, capital, debit, yield, return on investment, and cash flow. If you want to be in the business work of finance, or in the business worldRead MoreWorking Capital Concept And Definitions Essay1063 Words   |  5 Pages2-2 Working capital concept and definitions According to, the first formation of the concept of working capital was possibly first established by Karl Marx (Bhattacharya 2006). Working capital was defined as current assets minus current liabilities. In general, this definition is also identified as â€Å"networking capital†. are sometimes Current assets called as gross working capital. The current assets can be divided into four main elements: (1) cash (2) marketable securities (3) accounts receivableRead MoreFinance Term and Roles987 Words   |  4 PagesGrover In finance there are many terms that one has to know and understand in order to know what to do. Some terms are more important than others and some you need to know in order to have an understanding of the basics of finance. Some of the important terms are finance, efficient market, primary market, secondary market, risk, security, stock, bonds, capital, debit, yield, return on investment, and cash flow. If you want to be in the business work of finance, or in the business worldRead MoreMy Personal Learning Experience Of Corporate Finance And Investments Module Essay1202 Words   |  5 PagesThe following self-assessment essay will be a brief analysis of my personal learning experience of Corporate Finance and Investments module, and a brief description of my development planning. This essay includes four paths, therefore, I shall explain my motivation of studying particularly this module, my strengths and weaknesses, critical and analytical learning, as well as my future career ex pectations. 1.1 Motivation As stated by the business dictionary, ‘’Motivation is leaded by internal andRead MoreOperating Lease Financing And Financial Performance Of State Owned Sugar Companies Essay973 Words   |  4 Pagesfirms in Kenya Isabwa Harwood Kajirwa1 Omete F. Ikapel2 1,2Department of Business Management, University of Eldoret, P.O. Box 1125-30100, Eldoret, Kenya, Email: harwoodisabwa@yahoo.com Abstract This study analyses the effect of operating lease finance on financial performance of state owned sugar firms in Kenya. The study used the retrospective research design in collection of data. A target population of all the four state owned sugar firms was considered in the study for the period 2004-2014Read MoreDiscuss the Concerns Raised by Users Regarding to the Usefulness of Aasb 117744 Words   |  3 Pagesclassify leases as either finance leases or operating leases. The accounting treatment required under each approach is very different and this has raised concerns by investors and other financial statement users regarding the usefulness of the information provided. This essay will critically discuss and the criticisms and usefulness of lease accounting treatment. It will also examine lessee firm’s responses to Australian Standard 117 Accounting for Leases. Definition of capital and operating lease