Finance / July 25, 2018 / Emmalynn Leach
Fixed assets are also known as Infrastructure Assets, which can include road signs, bridges, tunnels, water and sewer systems, dams and lighting systems, land, buildings, equipment and machinery. Fixed assets differ from moveable assets in that fixed assets are fixed in place, typically attached or connected to a building, while moveable assets are not. Fixed assets are not inventory or items available for resale, but are company property often used in the course of conducting business.
Duration is the weighted average term to maturity of a bonds cash flows and therefore, is a valuable tool in assessing bond price sensitivity to interest rate shocks. It is the most common technique for quantifying this sensitivity and is generally used to approximate changes in the price of the bond for every 100 basis point change in yields(modified duration). As a general rule, the greater the value of duration, the more price volatility results from interest rate movements.
Cash is king when it comes to the financial management of a growing company. The lag between the time you have to pay your suppliers and employees and the time you collect from your customers is the problem, and the solution is cash flow management. At its simplest, cash flow management means delaying outlays of cash as long as possible while encouraging anyone who owes you money to pay it as rapidly as possible.
Analysts and investors will frequently refer to something called the net working capital. Or a lot of times they will just call it working capital for short. So working capital is very simple it’s like the current assets minus the current liabilities of a firm. When valuing the companies the "change in working capital" is more useful.
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