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- Fixed asset financing institution by another permanent funds own funds plus long-term loans and medium-term sense.
- Current assets financed by short-term loans.
- We can keep the financing of part of the current assets of permanent funds safety margin and this margin knows Permanent working capital.
Thanks for invitation.
Well, answered by Mr. George
Fixed asset
Current assets
thanx sir
u asked and answered.....................
Agree with you...thanks for the invitation
The 3 basic are classed as short term, medium term long term. The short term financing options are usually to finance a businesses consumables normally spread over a 12 months period e.g overdraft. The medium term financing are more for bridging the fund gap for asset over 1-5yrs e.g invoice factoring. finally long term financing are for capital spend which require long period e.g bonds/gilts & Mortgage
Matching of sources of funds with uses of funds short term