Question

Please explain about recent two articles related manegerial finance in 500 words?

Any articles in general

Answer 1

Articles relating to managerial finance:

• Analysis of capital structure:

A company’s capital structure is one of the important choices. Capital structure implies game plan of capital from various sources, so the long haul stores required for the business are raised. Because of its critical in association we can picked the subject for look into think about, it can assume an essential part in association's execution, and it can give many advantages to better execution. Capital structure boosted the market estimation of a firm. In firm having an appropriately planned capital structure the totals vale of the claim and proprietorship enthusiasm of investor are augmented. It can likewise limit the 'firm cost of financing'. By deciding a legitimate blend of assets sources a firm can keep the general cost of funding to the least. It can expand the organization's market cost of offer by expanding profit per offer of the customary investor. (The examination consolidated money related execution factors as reliant and capital structure (budgetary structure) as autonomous. The reliant factors are Spread Ratio, Return on Assets, and Earning per Share. Autonomous factors are Total Debts to Total Equity, Long term obligation to Total Equity, Short term obligation to Total Equity.

• Behavior of retail investors:

The term investment is used to convert the money or cash into the future return or claim the profit on future as return. Investment is an application which is used to claim the return and saving the future, Now I days stock exchange are the major attractions for investors to invest into shares, bonds etc. the investments decision have become more risky, more new entrants have entered into the capital markets with attractive screams of investments [1]. As the size and volume of investors have increase and the capital markets have expanded rapidly, malpractices have increased tremendously; the investment in the stock market is very risky because the ultimate losers are always the house hold investor.

Types of investors

1. Controlling shareholders/investors: This may comprise an individual a family, or group of corporations acting through a holding company or cross shareholders, by having a substantial shareholding, they can influence the working of the corporation.

2. Non-Institutional or individual shareholder/investors: They are widely scattered group of individuals holding small amounts of shares are known as minority shareholders.

3. Institutional shareholders: They represent an organized and highly motivated group, they are being dependent upon to improve the quality of governance in the corporation.