financial management
This query is : Resolved
06 December 2008
what is trading on equity?
please clarify in depth and logically.
please clarify in depth and logically.
09 January 2009
Trading On Equity : If I am able to earn 20% in my business and I pay 12% to creditors (loan) then it means I earn 8% extra. This is the benefit to equity shareholders as the profit will be available for dividends. This is the concept of trading on equity.
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