Corporate Finance/ Money and Capital Markets

motion ONE Operating additions argon long-lived assets that ar utilize in normal business operations which argon non held for resale to customers. Investments in operating assets be essential to the success of soaked to businesses. There are three major categories of operating assets: property, plant, and equipment which are sometimes referred to as plant assets or fixed assets; infixed resources; and intangible assets. Property, plant, and equipment holds land; land improvements, such as driveways, lay lots, fences, and alike(p) items that require periodic repair and replacement; buildings; equipment; vehicles; and furniture. An asset acquired for or used in the income generating operations of the business (such as cash, inventory, prepay expenses) and various fixed, long-term assets. A non-strong-arm asset. Examples of financial assets include imprecate accounts and shares in a publicly-traded company. Financial assets are opulent from physical assets like real esta te and personal property. In general, when wholeness speaks of investing and the merchandise, one is referring to financial assets, though both those price may include non-financial assets like corn or wheat. QUESTION TWO Money commercialise is distinguished from peachy market on the basis of the maturity period, credit instruments and the institutions: 1.

Maturity achievement: The coin market deals in the lending and borrowing of terse pay (i.e., for one year or less), while the capital letter market deals in the lending and borrowing of long-term finance (i.e., for more than one year). 2. Credit Inst ruments: The main credit instruments of the ! funds market are call money, collateral loans, acceptances, bills of exchange. On the disparate hand, the main instruments used in the capital market are stocks, shares, debentures, bonds, securities of the government. 3. Nature of Credit Instruments: The credit instruments dealt with in the capital market are more heterogeneous than those in money market. any(prenominal) homogeneousness of credit...If you want to get a full essay, clubhouse it on our website: BestEssayCheap.com

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