COMM 103 Lecture Notes - Lecture 4: Initial Public Offering, Cash Flow Statement, Cash Flow

• School: Queen's University
• Department: Commerce
• Course: COMM 103
• Professor: Gary Bisonnette

Document Summary

Idea of liquidity and solvency (part of this process) Gives a feel for overall cash requirements. Cogs (labour, materials, costs, inventory carrying cost (icc)) Debt financing: source of cash borrow, use of cash payment of loan. Company ratings (aaa, bb, cc) affects interest rates and price of stocks. Share value x # of share = market cap: value of company in the market place. Buy back share at low price to increase share value. Dividends: other source of decreasing cash, help to hold/increase share value, better to pay consistently rather than one time event. Buying back plant / automation investment of physical assets. Non-profit doesn"t have equity financing (no shares/stocks etc. )