Financial management 1

Financial management 1

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One of the most important material that can be said is that money has time value of money and the price it sets.

One important concept finance interest rate. All too often, organizations and commercial enterprises are confronted with the need to pay some period of time or receive funds. Under these circumstances, the interest rate and the funds that become important for the interest paid.

Decisions of the companies on financing and investments as interest rates depends flown. Industrial loans with the lowest short-term interest rates was approximately. Long-term loans that require interest payments of bonds issued to the holders of these securities is possible. To invest in items such as land, machinery and building the basis for making decisions is expected. It is obvious that the profits should be calculated based on the rate of return on invested funds

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