Articles on Trending Technologies

Technical articles with clear explanations and examples

What is debt restructuring in financial restructuring?

Nagasravan Tamma
Nagasravan Tamma
Updated on 17-May-2022 403 Views

Financial restructuring is a process of reorganizing companies’ financial structure. Companies’ financial structure consists of both debt and equity capitals. Reorganizing financial structure can be from the asset side or liability side of the balance sheet.Debt restructuringIn this process, the debt capital of the company is reorganized by reorganising the items in the balance sheet. It is used as a company financial tool rather than equity restructuring because, financial manager looks to minimize the cost of capital by improving efficiency.Ways of debt restructuring are as follows −Change in debt part by using the market opportunities by low cost borrowings.Increase in ...

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What is acquisition financing?

Nagasravan Tamma
Nagasravan Tamma
Updated on 17-May-2022 275 Views

To fund a merger and acquisition, the source of capital is required. To attain those funds is a complex thing because; it requires a lot of variations and combinations. Proper planning is required to get the capital for merger and acquisition. With various alternatives available, a proper mix is selected to get the low cost of capital.TypesThe types of acquisition financing are as follows −Stock swap − Acquirer exchange stock with the targeted company.Equity − Acquiring companies targets the companies which operate in an unstable industry with uneven cash flows.Cash − Takes place if an acquired company has smaller/low cash reserves.Debt − Banks ...

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What are the differences between liquidation and bankruptcy?

Nagasravan Tamma
Nagasravan Tamma
Updated on 17-May-2022 519 Views

Let us learn the concepts of liquidation and bankruptcy before understanding their differences.LiquidationLiquidation is the process of winding up a company by selling their assets and distributing them based on solvent or insolvent business. Liquidation occurs when a company decides or reaches a point when it decides not to continue their business for various reasons.The main reason to liquidate the asset is due to insolvency, where business reaches a point that it can’t pay the due payments. The person who manages the liquidation process is called a liquidator.TypesVoluntary liquidation (members) −Business able make payments but owner makes a choice to ...

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What is the merger and acquisition deal structure?

Nagasravan Tamma
Nagasravan Tamma
Updated on 17-May-2022 272 Views

Deal structure is the binding agreement between companies, which outlines rights and obligations for both the companies. This agreement states about the entitlements and constraints of companies.In other words, deal structure is nothing but terms and conditions of a merger and acquisition. It prioritizes the objectives and the major priorities of both the companies are satisfied. Preparing a merger and acquisition deal is challenging and complicated.Process of deal structure is explained below −Negotiation stance.Latent risks and how they can be managed.Maximum risk can be tolerated.Conditions (negotiations may cancel).Some of the factors considered while preparing deal structure are as follows −Financing ...

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Parallel RLC Circuit: Analysis and Example Problems

Manish Kumar Saini
Manish Kumar Saini
Updated on 17-May-2022 22K+ Views

Consider a parallel RLC circuit shown in the figure, where the resistor R, inductor L and capacitor C are connected in parallel and I (RMS) being the total supply current. In a parallel circuit, the voltage V (RMS) across each of the three elements remain same. Hence, for convenience, the voltage may be taken as reference phasor.Here, $$\mathrm{\mathit{V}=\mathit{IZ}=\frac{\mathit{I}}{\mathit{Y}}}$$Where, Z= Total impedance of the parallel circuit, Y=1/Z= Admittance of the parallel circuit.The admittance of the parallel circuit is given by, $$\mathrm{\mathit{Y}=\frac{1}{\mathit{R}}+\frac{1}{\mathit{j\omega L}}+\mathit{j\omega C}=\frac{1}{\mathit{R}}+ {\mathit{j}}(\mathit{\omega C}-\frac{1}{\mathit{\omega L}})=\mathit{G}+\mathit{jB}}$$Where, G=1/R= Conductance of the circuit, B=1/X= Susceptance of the circuit, $$\mathrm{Magnitude\:of\:admittance, |\mathit{Y}|=\sqrt{(\frac{1}{\mathit{R}})^{2}+(\mathit{\omega C}-\frac{1}{\mathit{\omega L}})^{2}}}$$$$\mathrm{Phase\:angle\:of\:admittance, \:\varphi=\tan^{-1}(\frac{\mathit{\omega ...

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What is Street Lighting? – Objective, Principle, Advantages & Disadvantages

Manish Kumar Saini
Manish Kumar Saini
Updated on 17-May-2022 16K+ Views

A source of light that is mounted on a lamp column or pole either on the side of the road or within the median to provide illumination is known as street lighting.Street lighting is required along the road to have safer, comfortable, convenient and efficient movement of vehicles at night.Objective of Street LightingThe primary objectives of street lighting are −Street lighting is required to increase or enhance the community value of the street.Street lighting is provided along the road sides to make traffic and obstructions on the road clearly visible in order promote safety and convenience.Street lights also make the ...

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What is Flood Lighting? – Definition, Purpose, Calculation and Applications

Manish Kumar Saini
Manish Kumar Saini
Updated on 17-May-2022 14K+ Views

The flooding of large surfaces with light through powerful projectors, where the light sources are concentrated into narrow light beams using specific reflectors is known as flood lighting. Flood lighting is an artificial light with high-intensity, broad beam.Purpose of Flood LightingThe flood lighting may be employed for the following purposes −To enhance the beauty of the ancient monuments at night.To illuminate the railway yards, car parking, sport stadiums, construction sites, etc.To illuminate the advertising boards and show-cases, etc.Location and Mounting of ProjectorsIn practice, there are two possible locations of projectors for flood lighting, which are −For small buildings, uniform flood ...

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Why do people consider law as a honorable career?

Manoj Rawat
Manoj Rawat
Updated on 17-May-2022 469 Views

There are numerous career options available for the young and aspiring students in our country. When it comes to choosing a career option, a majority of people treat law as an honorable career option and are seriously moving towards it to make it as their career.Why Law is Considered HonourableThe main reason people consider law as an honorable career is that:It involves helping others by resolving their legal issues.The legal system of every country is complex, therefore results in numerous legal career options, from lawyer to judges to mediators to paralegals to secretaries to consultants.Law touches every part of our ...

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What are the professional challenges faced by a CA?

Manoj Rawat
Manoj Rawat
Updated on 17-May-2022 1K+ Views

Chartered accountancy is a profession which works closely with the core of all business whether it is small, medium or big size firm. A professional chartered accountant typically involves in accounting, auditing, tax, and financial planning. This job is highly rewarding and is also considered very challenging. Career opportunities post chartered accountancy are full of excitement.There are various professional challenges that a person can face while working as a CA. You can see these challenges below:Have to Work OvertimeDuring the fiscal year, there come several times when a chartered accountant has to work more than 70 hours a week.Competitive JobCA ...

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How to Analyze Comparative Financial Statement?

Probir Banerjee
Probir Banerjee
Updated on 17-May-2022 806 Views

What is Comparative Financial Statements?Comparative financial statements provide a comparison between key financial metrics for two consecutive years. It is a very useful tool to check whether the company’s financials are moving in the right direction. It is a document that lists two or more years of financial performance of a company to offer a bird’s eye view of the comparison between two years of financial data. However, some caution must be taken while comparing the items in two financial statements.Analyzing Comparative Financial Statements is not tough as the interpretation of data does not require expert knowledge. However, in the ...

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