Role of Nationalization in Country Economy and Discuss the Advantages and Disadvantages of Nationalization

Nationalization has been at the heart of economics and has been studied by various economists in the world. Nationalization is a legal process of confiscating organization, firm or an industry by the federal government for numerous reasons. The most dreadful part is experienced by the former owners as government barely compensates their loss in the...

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Profitability Ratios

The Profitability Ratio is a major evaluation for understanding if organizations and companies are performing well. Considering this as a mandatory component, it is interesting to see that these theories are being practiced to avoid misinterpretations of sales and other aspects curating accurate results for the board of directors and owners. Here, profitability is the...

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Fixed Asset Turnover Ratio

What’s Fixed Asset Turnover Ratio? The fixed asset turnover ratio is considered as a vital component of ‘financial ratio’ associated with the net sales that are generated through fixed-assets. It ensures that fixed-asset investments are producing an ample amount of net sales to fulfill the desired requirements. The experts include ‘properties’, ‘plants’ and ‘equipment’ in...

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Future Value Definition – FV

What is Future Value or Cash Flow The future value refers to an amount of assets or the cash measured in a specified time of the future which should be equal to the amount being evaluated in the present time. Quite interestingly, the future value is measured through two effective methods and can help businesses...

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Cash Flow Stream

What is Uneven Cash Flow Stream? Any series of cash flows that doesn’t conform to the definition of an annuity is considered to be an uneven cash flow stream. For example, a series such as: $100, $100, $100, $200, $200, $200 would be considered an uneven cash flow stream. However, you might also note that...

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Discount Rate Definition – Practical Example of Discount Rate and Discount Rate Formula

What is 'Discount Rate' Discount Rate is the most common variable studied in the field of accountancy/business and finance, as it encapsulates an interest rate marked over commercial banks and other financial institutions for the amount received over the behalf of Federal Reserve’s discount opening. Another Definition of Discount Rate It’s the same rate, which...

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Expected Rate of Return – Simple Definition, How to Calculate, Benefits and Perception of Financial Professionals

What is Expected Rate of Return: Expected rate of return is considered as the most powerful solution for finding some useful probabilities to evaluate numerous return outcomes that our investments may provide afterwards. It should be in our best interest that probabilities are highly depending upon the investor and the kind of investment made in...

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Cost of Retained Earnings, Its Method and Calculation

What is Cost of Retained Earnings: The retained earnings are considered as a specific portion of net income or net loss that is absorbed by an organization instead of disbursing them to its shareholders in the form of ‘dividends’. It should be in our best interest that finance experts assume ‘retained earning’ as an opportunity...

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