by TheBusinessProfessor | Feb 23, 2025 | Business Finance, Personal Finance, and Valuation Principles
What is Capital Accumulation?Capital accumulation refers to a rise in the value of an asset as a result of investment or profits generated. The sole aim of capital accumulation is to create profit or revenue for a company. Therefore, when a business acquires assets...
by TheBusinessProfessor | Feb 23, 2025 | Business Finance, Personal Finance, and Valuation Principles
What is a Run Rate?The run rate is a concept that describes the financial performance of a company by using the present financial information to predict what future performance would look like. The run rate gauges what the performance of a company would be in terms of...
by TheBusinessProfessor | Feb 23, 2025 | Business Finance, Personal Finance, and Valuation Principles
What is an Endowment?An endowment refers to donating funds or property to a non-profit based organization that invests the received amount in meeting a particular objective. It can also be considered as the total investable or liquid assets of non-profit organization,...
by TheBusinessProfessor | Feb 23, 2025 | Business Finance, Personal Finance, and Valuation Principles
What is Structured Finance?Structured finance is a type of finance specifically designed for large corporations with unique or complicated financial needs that surpass the standard financial products available for firms. In order to match the financial needs of large...
by TheBusinessProfessor | Feb 23, 2025 | Business Finance, Personal Finance, and Valuation Principles
What is a Shoestring Budget?”On a Shoestring Budget” refers to a project or task that is attempted with a small budget or minimal capital funding – which is generally insufficient for the proposed capacity of the project. A shoestring budget is...
by TheBusinessProfessor | Feb 23, 2025 | Business Finance, Personal Finance, and Valuation Principles
What is Adjusted Present Value?Adjusted Present Value refers to the sum of net present value of an organization or a project that is totally based on equity financing and present value of financing advantages, if any. These financial benefits, when considered, provide...