Life is Short Essay Example | Topics and Well Written Essays - 500 words

Life is Short - Essay Example These emotions shape his character, which helps him deal with the real world that is made up of different dynamics that he is yet to discover. Part of a man's life is to find out what the different compositions of life are. Furthermore, as he tries to discover the world, he learns from it. Man initially learns fear. He fears of being alone. He fears the world as it engulfs him into a myriad of rationally opportunistic human beings like him. These people are exactly just like him who wants to find their place in the world. However, once man learns how to deal with the different circumstances that are naturally existent on earth, he no longer fears. He finds comfort and excitement upon realizing his ability to interact. With his ability to maintain a harmonious relationship with other human beings, he discovers the different ways of how to make his life exciting. Man learns to have fun. It is at this point when he forgets the reality that sooner or later his happiness will have to end. The attention that he gets from the world and the unlimited pleasure that it gives him feels like a drug that makes him yearn for more wealth and power. As such, he does not realize how his life had gone by so fast. More often than not, it is too late when he finally realizes once more that his life will soon come to an end.

Business Financing and the Capital Structure Research Paper

Business Financing and the Capital Structure - Research Paper Example Concept of working capital management Working capital management is fundamentally described as a managerial technique to preserve the financial health of a company in repaying its short-term debts and simultaneously, sufficing the need for short-term operating expenses. Advantages of working capital management can be viewed in terms of increased earnings of a company. Contradictorily, the conceptual framework is often criticised to offer only short-term financial planning assistances to the users. Notably, working-capital ratio and inventory-turnover ratio can be regarded as the two vital instruments to assess the viability of working capital management strategies applied by a company (Rehn, 2012). Financial instruments that are used as marketable securities to park excess cash Marketable securities are mostly favored by investors owing to their high liquidity benefits. In this regard, Treasury bills, commercial papers, bankers’ acceptances and other forms of government bonds as well as common stocks can be noted as the financial instruments used as marketable securities by investors to park excess cash (Chudson, 1945). Question 2 Selection of equities and debts to raise business capital depend on diverse factors, which mainly include the micro-economic performance of the economy and the liquidity position along with the risk taking ability of the company. Equities raise the liability of the company to repay investors, but only if the total liabilities of the company are accounted to be inferior to the assets held, i.e. when profit is obtained. Another advantage of using equities is that the interests paid by the company to its equity shareholders are accounted as an organizational expense, which further allows a certain percentage of tax leverage to the company. However, concerning the shareholders’ interests to invest in equities, various factors can be identified as disruptive (Komaromi, 2006). For instance, the purchase decision of equities of ten depends on the probability of business earning profits, and hence, investors tend to purchase equities when businesses are at their growth stage. Again, current fluctuations may also be identified to impose significant effects on the investors’ behavior towards purchasing equities. Concerning the current market scenario in the US, fluctuations can be apparently observed in the equities market, owing to its macro-economic volatility (Reuters, 2013). Therefore, a company must ensure its growth phase as well as preserve good liquidity position to market its equities and obtain adequate capital. On the other hand, debts do not involve uncertainty on the basis of investors’ decisions and behaviors. Therefore, businesses may not be required to ensure a growth phase while obtaining debts through short-term or long-term modes. It is worth mentioning in this context that although a business need not face the risk of uncertainty in capital allocation, it might require ensuri ng healthy liquidity ratio (Komaromi, 2006). Additionally, interest rate fluctuations observed in the current performance of the US may also have a negative implication for a company to opt for fund raising through debts. To be precise, the interest rates in the US are observed currently as rising and are further expected to rise in the near future, which might increase liabilities of the company deciding upon raising funds through debts (Conerly, 2013). Apparently, both the fund raising options have certain