Define Capitalization. Explain ‘‘Undercapitalization’’ with causes, effects and remedies.
Answers
Answered by
1
Undercapitalization occurs when a company does not have sufficient capital to conduct normal business operations and pay creditors. This can occur when the company is not generating enough cash flow or is unable to access forms of financing such as debt or equity.
Similar questions
Math,
7 months ago
Math,
7 months ago
English,
7 months ago
Business Studies,
1 year ago
English,
1 year ago