Topic 1 Flashcards Preview

Corporate Finance Management > Topic 1 > Flashcards

Flashcards in Topic 1 Deck (11)
Loading flashcards...
1

net working capital

current assets less current liabilities.

2

capital budgeting

the process of planning and managing a firm's investment in non-current assets.

3

capital (or financial) structure

the mix of debt and equity maintained by a firm.

4

agency problem

the possibility of conflicts of interest between the shareholders and management of a film

5

stakeholders

someone other than a shareholder or debt-holder who potentially has a claim on a firm

6

money markets (dealer markets)

financial markets where short-term debt securities are bought and sold

7

capital markets

financial markets where long-term debt and equity securities are bought and sold

8

primary market

a market for new issues of securities where cash proceeds go to the issuer of the security.

9

secondary market

the market where previously issued securities are traded.

10

critical (adj) /ˈkrɪt.ɪ.kəl/

of the greatest importance to the way things might happen:

The president's support is critical (to this project).

11

annuity (CN) /əˈnjuː.ə.ti/

a fixed amount of money paid to someone every year, usually until their death, or the insurance agreement or investment that provides the money that is paid:

an annuity policy

annuity income

She receives a small annuity