Financial Management Unit – 4 Capital Structure Capital Structure • It refers to the kinds of securities and the proportionate amounts that make up capitalization. • A decision about the proportion among the three types of securities viz.‚ Equity shares‚ Pref. Shares and Debentures refers to the Capital Structure of an enterprise. What is “Capital Structure”? • Definition The capital structure of a firm is the mix of different securities issued by the firm to finance its operations
Premium Finance Capital structure
Strategies Group January 2006 Corporate Capital Structure Authors Henri Servaes Professor of Finance London Business School The Theory and Practice of Corporate Capital Structure Peter Tufano Sylvan C. Coleman Professor of Financial Management Harvard Business School Editors James Ballingall Capital Structure and Risk Management Advisory Deutsche Bank +44 20 7547 6738 james.ballingall@db.com Adrian Crockett Head of Capital Structure and Risk Management Advisory‚ Europe & Asia
Premium Taxation Tax Finance
Introduction Capital structure (CS) is one of the most important aspects of the Financial Management of any organization. It aims is to identify and implement the best capital structure proportion possible that suits the organizations needs and objectives. An optimal Capital structure boosts the prosperity of the company in the long run and reduces the risk. CS is a mixture of a company ’s current and non current debt‚ common and preferred equity. It ’s the way a company finances its functions
Premium Finance Corporate finance Capital structure
tructure CORPORATE FINANCE PROJECTPRACTICAL CONSIDERATIONS OF CAPITAL STRUCTURE OF A COMPANY IN INDIASubmitted to: Submitted by:Mr. Rajesh Jhamb Atul Pabbi 09104013Priyanka Bhola 09104043Rahul Mahajan 09104045Shreya Adya 09104052ACKNOWLEDGEMENTAn acknowledgement is not just a mere formality but a true opportunity to express my sincere gratitude towards all the people who have been of great help and have played an important role in making the training a great learning experience providing
Premium Corporate finance Finance Stock
Capital Structure Financial Seminar DFI 605 Group Members Nidhi Batta D61/79041/2012 Caleb Musau Kivuva D61/79601/2012 Tom Mbuya Odundo D61/78251/2012 CathrineWanjiku Kamau D61/60682/2013 Daniel Mwangi Mwaniki D61/84153/2012 Ndiangui James Wambugu D61/79627/2012 Submitted to: Mr. Mirie Mwangi September - December 2013 Submitted in partial fulfilment of the requirements of the Masters in Business Administration degree at the University of Nairobi.
Premium Capital structure Corporate finance Finance
Assignment 1. Some of the key trends in the capital structure of India Inc. are as follows: Key observations: * Indian corporate employ substantial amount of debt in their capital structure in terms of the debt-equity ratio as well as total debt to total assets ratio. * As a result of debt-dominated capital structure‚ the Indian corporate are exposed to a very high degree of total risk as reflected in high degree of operating leverage and financial leverage and‚ consequently‚ are
Premium Finance Capital structure Investment
The Capital Structure of Chinese Companies 1. Introduction Capital structure is considered as a way to determine how a corporation financing its assets by issuing debt or equity. If the firm is entirely financed by the common equity‚ then it is so called an unlevered firmed‚ and its whole cash flow belong to its stockholders. If the firm financed both debt and equity‚ then it is so called a levered firm‚ and its cash flow will first goes to debt holders and then to stockholders. According to Brealey
Premium Finance Corporate finance Capital structure
African Journal of Business Management Vol. 5(15)‚ pp. 6527-6540‚ 4 August‚ 2011 Available online at http://www.academicjournals.org/AJBM DOI: 10.5897/AJBM11.1012 ISSN 1993-8233 ©2011 Academic Journals Full Length Research Paper Capital structure and financing decision - Evidence from the four Asian Tigers and Japan Kuang-Hua Hsu1* and Ching-Yu Hsu2 1 Department of Finance‚ Chaoyang University of Technology‚ Taiwan‚ Republic of China 168 Jifong E. Road.‚ Wufong District‚ Taichung
Premium Corporate finance Capital structure Finance
Journal of Finance and Investment Analysis‚ vol.1‚ no.2‚ 2012‚ 61-81 ISSN: 2241-0988 (print version)‚ 2241-0996 (online) International Scientific Press‚ 2012 Topic: capital structure determinants of quoted firms in Nigeria and lessons for corporate financing decisions Michael Nwidobie Barine1 Abstract Financial arrangements determine how and the amount of financing that can be obtained from fund providers. An optimal allocation between equity and debt is determined by the trade-off between
Premium Corporate finance Finance Tax
Determinants of capital structure In finance‚ capital structure refers to the way a corporation finances its assets through some combination of equity‚ debt‚ or hybrid securities. A firm ’s capital structure is then the composition or ’structure ’ of its liabilities. Simply‚ capital structure refers to the mix of debt and equity used by a firm in financing its assets. The capital structure decision is one of the most important decisions made by financial management. The capital structure decision is
Premium Depreciation Capital structure Finance