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Finance and Accounting

Finance and Accounting

Understanding Concepts

You are a small business owner. Determine the financial ratios that are important to business. Compare your ratios with that of a manager of a larger corporation. Explain advantages and disadvantages of debt financing & why an organization would choose to issue stocks rather than bonds to generate funds. Discuss how the financial returns are related to risk. Describe the concept of beta & how it is used. Contrast systematic & unsystematic risk.

 

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