Accountancy, asked by vikashanshuu, 2 months ago

the company structure of RS ltd. shows following information. equity share 102 cr.,debenture 87 cr. and loan from bank 182 cr.. The company has retained earning of 220 cr.Rs ltd wants to diversify its production and start a new product. this would require an additional capital of rs. 300 cr.Suggest as to which source of finance should be used and why and also state the reaon for which it should avoid sources of finance.

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Answered by prajwalchaudhari

1

Answer:

equity share 102 cr.,debenture 87 cr. and loan from bank 182 cr.. The company has retained earning of 220 cr.Rs ltd wants to diversify its production and start a new product. this would require an additional capital of rs. 300 cr.Suggest as to which source of finance should be used and why and also state the reaon for which it should avoid sources of finance.

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