Question

Business resources minus capital equities is equal to

Answer 1

Answer:/

Business Resources are all the assets of a Business of a firm.

All the Assets are equally proportionate to All Liabilities of the firm.

Liabilities consists of Equity and Debt

Equity has some constituents like :

1. Equity shareholder's fund
2. Preference shareholder's fund
3. Share warrants

Debt is formed of two types of Debt

1. Long Term Debt / Borrowings

               > Debentures

               > Bank Loan

               > Security Deposits

     2. Short Term Debt / Borrowings

               > Bank Overdraft

               > Trade Payables

               > Outstanding Liabilities

Business Resources - Capital Equitites = Debt ( Long and Short term Debt )

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