Category: Equity

  • Debt vs. Equity Financing

    There are two methods of business financing. The first is debt financing wherein money is borrowed from external sources such as banks [About, Inc.], finance companies, private corporations, credit card companies or credit unions [Allbusiness.com, Inc.]. Repayment is governed by the terms and conditions of an agreement, and it normally requires paying a monthly sum…

  • Industrial relations pressures in Equity Bank

    Table of Contents Introduction National culture and comparative industrial relations theory The industrial relation pressures at Equity Bank Strategic plan for Equity bank industrial relations pressures Conclusion Reference list Introduction Industrial relations is a very complex and delicate issue in many organizations now days. An organization cannot progress unless there exists cooperation and relationships that…

  • Private Equity Firms and Equity Markets: Impact on Capital Structure Inefficiencies

    Introduction Almost every economic transactions taking place around the world involve private equity. For example, all new transactions conducted by major corporations around the world must in one way or the other encompasses private equity. Private equity firms have evolved to be prominent in the recent years such that the funds they offer to other…

  • DuPont Method: Return on Equity Effect

    Table of Contents DuPont Method Analysis ROE Case Study References DuPont Method Analysis The DuPont analysis is a method of evaluating the effect of three components of the return on equity (ROE) on a single equation. It allows a financial analyst to assess the effect of the net profit margin, total asset turnover, and capital…

  • Equity, Liabilities, and Assets in Accounting

    Exploring the elements of the accounting equation is a crucial step toward developing a sustainable approach for using the available resources and introducing the principles of cost-efficient management of an organization’s assets (Warren, Reeve, & Duchac, 2017). Herein lies the importance of learning about the definition of assets, liabilities, and equity as the crucial constituents…

  • Cost of Equity: Harley-Davidson Inc.’s Analysis

    Table of Contents Analysis of Beta Capital Asset Pricing Model (CAPM) Cost of Equity Beta for a Portfolio Expected Return of the Portfolio References Analysis of Beta The company that is selected for analysis is Harley-Davidson, Inc. The beta of the company is 0.86 (Yahoo Finance, 2017). Beta is a measure of risk and it…

  • Business Behavior. Equity Theory by Adams

    Table of Contents Literature Review Discussion Section Works Cited Motivation plays a crucial impact in organizational performance and productivity level. Equity Theory by J. S. Adams was developed in 1963. It describes motivation factors and their role in the productivity and satisfaction of employees. Adams states that workers find that their jobs offer relatively little…

  • Equity Incentives and Earnings Management by Cheng

    Table of Contents Introduction Hypothesis development Sample and data Empirical results Additional analysis Conclusion and implications Introduction One of the important aspects of defining the implications of earnings management concerns the association between stock-based compensations of managers, their equity rates and the degree to which earnings are managed. In such a way, stock ownerships can…

  • Internal and External Equity Comparison and Fundamental Aspects

    Table of Contents Introduction Internal Equity at American Institutes for Research External Equity at Novartis Pharmaceuticals Corporation Conclusion References Introduction The aspect of equity in organizational total compensation plans primarily entails fairness and competitiveness of salaries and rewards that employers pay employees (Martocchio, 2009). Internal equity and external equity are the main forms of employee-centered…

  • International Issues: Global Equity Markets

    Table of Contents Introduction Strengths Weaknesses Opportunities Threats Conclusions Reference Introduction With the opening of international trade routes and globalization of movement of goods, services and utilities, spawned by technological advancement and the internet, global equity markets have been receiving wide attention in recent years, thanks to the opening up of global economies. Therefore, it…