Structured Finance Week 1

Structured Finance Week 1 - Structured Finance Week1 A. Why...

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Structured Finance Week 1
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A. Why Corporate Finance is important to all managers? It is important because it will maximize the value of the firm. It is vital that managers care for good and positive financial outcomes. B. There are three main forms of organizations: These are: the proprietorship, the partnership and the corporation. Advantages of the proprietorship: less capital is needed to begin the business, no corporate taxes. Ease of formation. Subject to few regulations, and there are no corporate income taxes. Advantages of the partnership: because there are more people involved in the business it means that more revenue can be generated. Advantages of a corporation: It is easier to raise a capital. In addition, it has a limited liability, and an unlimited life. Disadvantages of the proprietorship: it is more difficult to expand, there is an unlimited liability, and it is difficult to raise capital to support growth. Proprietorship has a limited life. Disadvantages of the partnership: It has almost the same disadvantages as a sole proprietorship.
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Structured Finance Week 1 - Structured Finance Week1 A. Why...

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