More of Borrowed fund used in capital is safety” if the
statement is Right Briefly Discuss or if it is wrong
justify your answers
Answers were Sorted based on User's Feedback
Answer / r k sethi
When borrowing made to augment capital, ensure that you
have in mind to make repayment of that liability in order
to be in business even in bad times. Risk in business
should be born by equity holders, not by lenders/
creditors.
Is This Answer Correct ? | 1 Yes | 0 No |
Answer / anshu
no i dont agree with the given statement becauze .
i bad times ,when liquidity is less these borrwed funds
still stand as a libility ,which is not the case with
equity..so it is safer to play thru the equity route
Is This Answer Correct ? | 3 Yes | 5 No |
Do bank charge for overdraft protection service?
What Is A Mutual founds
17 Answers Franklin Templeton,
Tell something about Bhartiya Mahila Bank?
0 Answers IBPS, State Bank Of India SBI,
What is the difference between GDP and GNP?
What is npa in bank terminology?
What Is Retail Or Consumer Banking?
For doing trading in SE do we need D-mat account ?
What is the functionality of Stock exchange
What is Deemed Export? and what types of document's need to be made by manufacturer for sale to buyer party?
Tell me about your financial condition
0 Answers HPCL, Hughes Systique Corporation,
What is fixed assets/ capital employed ratio?
Do you know what giffen goods are?
0 Answers State Bank Of India SBI,