Uderstand the source of finance avlible to a business Research Paper

Uderstand the source of finance avlible to a business - Research Paper Example The finance requirements for meeting such type of expenses are generally long term in nature. A company can rely upon both its internal and external sources for meeting financing requirements (Beck, Levine and Loayza, 2000). In external sources of financing, a third party gets involved in meeting monetary requirements of a company. External sources of financing accrue cost to the business in respect of their obtainment. The external sources can be of long, short or medium term. Short-term sources of external financing are generally of less than a year’s duration, before it becomes accrued for repayment. Some of the short-term sources of finance are discussed as follows (Beck and Demirguc-Kunt, 2006). Trade creditors are the most common type of short-term finance option, which is available for small, medium and large organizations. Trade creditors refer to the purchase of different items on credit. In this type of a transaction, suppliers allow the business a certain period of lag in payment for the goods purchased. Business can take advantage of the extra time period and invest money elsewhere for generating higher revenue. Factoring is another method of short-term financing whereby a company can receive funds earlier than the due date of its debts. A company may have a large number of debtors, who have purchased goods on credit. As a result, revenue from sales is earned only after a considerable period of time. Fund, therefore, gets trapped for a longer period, harming firm’s liquidity position. Factoring helps a company to procure the finance trapped in credit by way of providing value of debts as security to the factor agent (Goldstein, Ju and Leland, 2001). Discounting of invoice is another very popular means of obtaining short-term credit facilities. In this type of a financing arrangement, a company exchanges its receivable invoices with a finance house, which provides the business with immediate cash. The cash provided is

What Have I Learned This Semester Essay Example | Topics and Well Written Essays - 750 words

What Have I Learned This Semester - Essay Example In this essay I will try to condense all the things that I learned from studying these three books with emphasis on the last two in the essay. The book, â€Å"Good Reasons with Contemporary Arguments† by Lester FaigleyAnd Jack Selzer, is one of the most informative books I have read in a long time. The book in essence teaches you how to argue with authority. Here I found out that argumentation is a very powerful and effective tool not only to getting your point across but also a getting what you want in general. It talks about why people argue and when they do why do some win and some do not. Before I read this book I had a very haphazard method to argumentation. Basically I just said what I want to get across and hoped that people would agree with me. But with this book I found out that arguing actually is a science and that there is a method to all this argumentation. I learned that there are two goals of an argument, these are position and proposal. In a position, one has to take a stand and make an argument about it. In a proposal, one proposes to solve a certain problem and proposes a solution to the problem. I learned about the tool called rhetoric; pathos, ethos and logos. I also learned about how understand an argument. This helps in weeding out a weak argument. This is very useful for me because with I would be able to spot a weak argument and avoid it. It also taught me to recognize arguments, and that they are present even in every day conversations. This book has taught me to appreciate a good argument and to formulate an even better one on my own. The book A Long Way Gone Memoirs of a Boy Soldier by Ishmael Beah is the true story of a boy who is forced to become a soldier in the war. In the process he becomes cold and bloodthirsty; the struggle here is his desire to escape his situation and his long and harrowing journey to becoming a child again. The book at first was not easy to read, for some like me who never exper ienced war and has lived a comfortable life the beginning of the book is a bit hard to digest. I could feel the horror and the fear that Ishmael felt, it was almost like watching a very gruesome war movie. The thing stuck to me was that in the war movies and stories that I know of the soldiers are usually young men or grizzled veterans. In this story the soldier is more of a schoolboy than a soldier. Eventually the book begins to pick up when Ishmael realizes that he must leave Sierra Leone if he ever wants to become a normal human being again. The mood of story begins to change when he sets of to find the peace he has been longing for. The book has interesting characters that and themes. There are important lessons I picked up from this book. The one that stuck with me is that in life no matter what happens there is always hope. No matter how hard the road that Ishmael had to travel he still persevered and in the end he found what he was looking for. This proves that no matter what happens in life if we strive for something better we will most likely receive it. The journey that Ishmael undertook is proof of this. The book Sizwe's Test: A Young Man’s Journey through Africa’s AIDS Epidemic by Jonny Steinberg, is another book that I picked up valuable lessons from. This book tackles a very sensitive yet widespread topic; it is about the AIDS epidemic in