Essays Proper Aims Of Education

Tags: Vellacott EssayDissertation ConsultingDissertation On IfrsExaminer Report On Phd ThesisCommon Sense EssayOntology Research PapersWrite My Thesis In A Week

To explain the relationship among capital structure, cost of capital and value of the firm various theories have been propounded by different authors. Concept: The Net Income (NI) approach was propounded by David Durand.

There are four major theories which present differing views on the relationship between use of financial leverage and common stock value. According to him the decision relating to capital structure has an impact on the valuation of the firm.

Since this cost increase is due to increase in debt it is known as implicit cost of debt.

The advantage of using debt being a cheaper source is neutralized by the increased cost of equity.

The tra­ditional theorists believe that, up to certain point a firm can reduce cost of capital and raise market value of the stock by increasing the proportion of debt in its capital structure. According to this approach, cost of capital is not independent of the capital struc­ture of the firm.

It states that up to a certain point increase in leverage causes overall cost of capital to decline but after attaining the optimum level, increase in leverage will increase the overall cost of capital.

We know: Overall cost of capital = EBIT /value of firm or K = EBIT /V Net income approach can also be explained graphically.

In Figure 6.1 we have measured finan­cial leverage on the horizontal axis and cost of capital on the vertical axis.

So it is also known as the Intermediate or Midway Approach.

According to this theory the value of the firm can be increased or the cost of capital can be decreased initially by using more debt, as the debt is a cheaper source of funds than equity.

SHOW COMMENTS

Comments Essays Proper Aims Of Education

  • Essay on Education for Children and Students
    Reply

    Education Essay 1 100 words Education is the act of learning things around us. It helps us to easily understand and deal with any problem and makes balance throughout the whole life in every aspect. Education is the first and foremost rights of every human being. Without education we are incomplete and our lives are useless.…

  • Relationship between Democracy and Education
    Reply

    This article provides an essay on the intimate relationship between democracy and education. It is an admitted fact that there is an intimate relationship between democracy and education. In a democracy, education is given primacy, for it is pre-requisite for the survival and success of the former.…

  • AIM OF EDUCATION -
    Reply

    Political aims and ideals of the adults in the society interfere with the basic aim of education which is to provide the individual with a foundation for successfully living in the world. There is a need for depth education - education of the 'whole' individual.…

  • Essay on the Aims of Education According to Marxism
    Reply

    Essay on the Aims of Education According to Marxism Communist Manifesto declares free, universal elementary education for all. Marx says, ‘Education means to us three things,— a Intellectual Development, b Physical Development, c Polytechnic Education which will give knowledge relative to the General Sciences and principles of all productive processes’.…

  • What are the Main Aims of Education? - Your Article Library
    Reply

    Aim of Education # 1. Knowledge Aim of Education In the narrow sense, knowledge aim implies “Knowledge for the sake of knowledge”. In its wider sense, it means development of mental powers-thinking, reasoning, discrimination, judgement, memory, problem solving, imagination, intelligence etc.…

  • The Proper Aims of Education essays
    Reply

    The Proper Aims of Education 2 Pages 509 Words. Spiritual teaching helps individuals keep the love and beauty of God first in all things. Individuals should learn to celebrate his presence through prayer and worship. Students should have daily prayers and as well as special prayer services and the bible should be incorporated into daily.…

  • Words essay on the Aim of Education Free to read
    Reply

    Free sample essay on the Aim of Education Free to read. The main aim of education is the all-round development of a student. Its purpose is to develop a student into a full, whole and integrated person. The main aim of education is the all-round development of a student. Its purpose is to develop a student into a full, whole and integrated person.…

  • Essay on What Is the Purpose of Education? -
    Reply

    One of the ways to provide such education is to “get outdoor”. The skills and abilities develop in real world and not in artificial situations in class. In this regard, we may refer to the Plato’s “Allegory of the Cave”. One should “touch” the real world problems and get personal experience from it.…

  • Introduction Philosophy of Education and Philosophy - Oxford.
    Reply

    The book examines the problems concerning the aims and guiding ideals of education. is that concerning aims what are the proper aims and guiding ideals of education. All these and more are addressed in the essays that follow.…

The Latest from kia-dop.ru ©