Capital Budgeting Resources

7 Pins
·
1y
By
wallstreetmojo
a diagram showing the different types of property and what they mean to be in each
Ballpark Figure
A ballpark figure is a rough estimate given to understand the value of something which can help in taking important decisions. It is considered a logical measurement that accounts for a margin of error.
a diagram with the words, average payment period and business clearies to creditors
Average Payment Period
Average payment period refers to the average time period taken by an organization for paying off its dues with respect to purchases of materials that are bought on the credit basis from the suppliers of the company, and the same doesn’t necessarily have any impact on the company’s working capital.
the diagram shows that there are two different types of balances and how they work
Average Outstanding Balance
The average outstanding balance is the average amount of money owed on a credit account over a period of time. It is calculated by adding up the outstanding balance on a credit account at the end of each day or billing cycle, and dividing it by the total number of days or billing cycles.
a calculator is shown with the words average formula and an image of a calculator
Average Formula
Average is the value that is used to represent the set of values of data as is the average calculated from whole data and this formula is calculated by adding all the values of the set given, denoted by summation of X and dividing it by the number of values given in the set denoted by N.
80-20 Rule
80-20 Rule - Meaning, Example, How 80-20 Principle Works?
The 80-20 rule or Pareto Principle is a phenomenon primarily used in business and economics that explains how 20% of efforts or inputs can yield 80% of results or outputs. It helps identify and focus on the crucial factors to create maximum value while delegating the least important ones.