Treasury Stock Overview, Share Repurchases, Limitations
When a company repurchases its own stock, it takes those shares out of circulation. This means that treasury stocks are no longer available for public trading. Whether the stock split entices more people to buy it is questionable, and necessarily limited. For public companies, there is a large number of shares issued to the general […]
What are term bonds and serial bonds?
For example, a $1 million serial bond issue that calls for paying $250,000 of the principal every five years. This means that the outstanding value of bonds decline over time until the full value is retired. Serial bonds have unique advantages for both issuers and investors. For issuers, serial bonds can help to spread out […]
Financial ratios a complete list
Some of the important efficiency ratios include the asset turnover ratio, inventory turnover, payables turnover, working capital turnover, fixed asset turnover, and receivables turnover ratio. The result can be differences in market valuation, as investors reward those companies showing clearly better ratio results than their competitors. The reverse can also occur, where adverse financial ratios […]
