Banking & Finance

What are the cash flow statement categories?

The cash flow statement shows the results of transactions in three categories that are sources and uses of cash: Operating cash flow – Net cash provided by and used for operating a...


What are the basic participant-arranger relationships?

The initial underwriting of the financing by the mandated lead arrangers triggers the start of primary syndication.  After this, and depending on the syndication strategy, it proce...


What are the basic classes of equity?

Common stock is the residual equity in a company in that all other financial claims against the firm have priority over this class of equity, it entitling its holders to dividends...


What are the basic arranger-participant relationships?

The initial underwriting of the financing by the mandated lead arrangers triggers the start of primary syndication.  After this, and depending on the syndication strategy, it proce...


What are the basic accounting assumptions?

A distinct business unit or other organization for which accounting records are kept and financial statements are prepared is an accounting entity.  The business-entity assumption...


What are the asset valuation models?

The cost model and the revaluation model are the two models an entity may choose for the valuation of assets subsequent to their initial recognition.  Under the cost model, an asse...


What are the advantages of ABSs for lessors?

Securitization provides several benefits to lessors, including: Transformation of illiquid nonnegotiable assets into marketable instruments; Removal of highly illiquid assets from...


What are term loans?

A term loan is a fixed- or variable-rate secured or unsecured loan made available with a fixed maturity in excess of one year and up to a specified amount in order to acquire long-...


What are template term sheets?

Unlike the Loan Market Association (LMA) and the Asia Pacific Loan Market Association (APLMA), the Loan Syndications & Trading Association (LSTA) does not publish a recommended...


What are syndicated facilities?

A syndicated facility is financing in which revolving credit or a term loan facility is arranged and provided in direct syndication and/or funded in a participationby more than one...


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