Follow Our FB Page << CircleMedia.in >> for Daily Laughter. We Post Funny, Viral, Comedy Videos, Memes, Vines...


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



More of Borrowed fund used in capital is safety” if the statement is Right Briefly Discuss or if..

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

More of Borrowed fund used in capital is safety” if the statement is Right Briefly Discuss or if..

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

Post New Answer

More Banking Finance Interview Questions

What are the limitations of ratio analysis?

0 Answers  


As a student of Arts/ Science or Commerce why didn't you applied for higher studies?

0 Answers   IBPS,


What happens if a deposit is pre-paid?

0 Answers  


What Is The Difference Between Cost And Expense?

0 Answers  


What are functions of Banks and how does banking affect the economy of the country?

0 Answers   Nabard, RBI,






What does ICFAI stands for?

0 Answers   SEBI,


what are collateral securities?

9 Answers   TATA,


What do you understand by foreign draft?

0 Answers  


What Is A Reaffirmation Agreement And How Does It Work?

0 Answers  


Explain a fixed interest investment

0 Answers  


Do you think role of leaders and managers is same?

0 Answers   RBI,


What is gross profit ratio? What does it indicate?

0 Answers  






Categories
  • Business Administration Interview Questions Business Administration (517)
  • Marketing Sales Interview Questions Marketing Sales (1279)
  • Banking Finance Interview Questions Banking Finance (3208)
  • Human Resources Interview Questions Human Resources (745)
  • Personnel Management Interview Questions Personnel Management (68)
  • Hotel Management Interview Questions Hotel Management (29)
  • Industrial Management Interview Questions Industrial Management (111)
  • Infrastructure Management Interview Questions Infrastructure Management (14)
  • IT Management Interview Questions IT Management (97)
  • Supply Chain Management Interview Questions Supply Chain Management (15)
  • Operations Management Interview Questions Operations Management (39)
  • Funding Interview Questions Funding (79)
  • Insurance Interview Questions Insurance (494)
  • Waste Management Interview Questions Waste Management (1)
  • Labor Management Interview Questions Labor Management (48)
  • Non Technical Interview Questions Non Technical (73)
  • Business Management AllOther Interview Questions Business Management AllOther (546)