Answer to: Explain and differentiate what is meant by market capitalization of the firm, market value of the firm, and enterprise value of the...
Explain and differentiate what is meant by market capitalization of the firm, market value of the firm, and enterprise value of the firm. What do the terms Net Asset Value, Book Value and Shareholders Equity mean? Are they just different terms for the same thing?
Money market is the market for short-term funds. It provides means for raising funds for meeting short-term needs of cash on one hand and deploment of surplus funds for short period on the other. Instruments in money market are: (i) Call money It is
What is meant by capital budgeting? Capital budgeting helps organizations identify the set of projects for which they have sufficient money and how to best allocate funds across those projects. What are the three methods of capital budgeting?
Money market fund:This kind of fund invests in short-term investments issued by U.S. corporations, as well as federal, state and local governments. Stock fund:As its name implies, a stock fund invests in stocks. Bond fund:A bond fund invests in bonds and other kinds of debt. ...
Risk management includes real-time data on exposure; marking to market inventoried positions; statistics permitting extrapolation of trends; and analytical accounting information. Moreover, quantitative information alone while necessary is not enough. Risk is also perceived qualitatively by the risk manager...
What is meant by customer lifetime value? Customer lifetime value (CLV) refers to the revenue a business generates from the average customer over the course of their relationship. How is CLV different from other customer metrics?Unlike single-focus metrics, such as customer acquisition cost, ave...
Capital market efficiency has its own advantages. For example, shareholders can invest money in an efficient share market without having to doubt the information provided by the market. This helps the investors put in more money in the market than when the efficiency of the market is compromised...
Market experts agree that the future of SaaS is strong. According to a 2017 Gartner report, sales of SaaS solutions will continue to grow at over 23 percent per year, from US$270billion in 2020 to over US$332 billion by 2021. Innovation in the SaaS solutions themselves is expected to hel...
What is an ETF? An ETF is a tradeable fund, containing many investments, generally organized around a strategy, theme, or exposure. That approach could be tracking a sector of the stock market, like technology or energy; investing in a specific type of bond, like high-yield or municipal;...