1. The Role of Financial Managers
When a business sells securities to investors in exchange for cash, it raises capital in a primary market transaction. ... On the other side of the transaction, investors holding the firms securities can trade them with other investors. ... Corporations can obtain debt financing either by selling bonds (or other debt securities) directly to investors or by borrowing money from a commercial bank or other financial intermediary. ... A key element of this management process is the capital structure decision, or structuring the financial claims on the firm between debt and equity securities in or...
- Word Count: 1383
- Approx Pages: 6
- Grade Level: Graduate