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Wednesday, January 27, 2010

Long-term financing

Contents
• Financial planning for capital assets
• Differences in approach between an existing enterprise and a new enterprise in respect of available resources
• Financial projections – assumptions that go into them and projecting variable and fixed expenses
• Role of strategy in long-term financing
• Questions for practice and reinforcement

At the end of the chapter the student will be able to:
• Apply financial planning process and determine the components of a capital structure both for a new enterprise as well as an existing enterprise
• Determine the assumptions that go into estimating the financial results of an enterprise
• Project the variable and fixed expenses for the following period through proper methodology
• Distinguish between strategic planning and taking decision purely on numbers


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