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Why yes, yes i would.

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13y ago
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Q: Would you advise someone to invest in a cash cow?
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Continue Learning about Economics

Which of the following turned out to be a significant problem with the economy of the 1920s?

few people had the cash to invest in the stock market


Why did James Cash Penny start his business?

i don't know but maybe someone else will good luck


How does maximizing the long-run expected cash flows of the firm translate into maximazing shareholders wealth?

Maximizing the long-run expected cash flows of a firm does not inherently translate into maximizing shareholder wealth. I believe the question that is trying to be posed here is how do long-run expected free cash flows of the firm translate into maximizing shareholder wealth. That answer is because free cash flows are the amount of money available to a firm to either reinvest into the business or distribute out to shareholders. Firms that generate free cash flows and then reinvest in their own business will generally increase their stock price (A company that is making profits and growing will be valued higher) or the firm can pay out some of those free cash flows in the form of dividends (obvious value to the shareholders). Long-run expected cash flows don't prove anything. If I have a million dollars that I want to invest into a lemonade stand, and that lemonade stand costs me $1,000 per month to operate ($1,000 outflow per month) but my monthly revenue is only $800 ($800 inflow per month) then I will have cash flows of -$200 per month. Since I'm ready to invest a million this will be sustainable for quite a long time, but it by no means is maximizing my (me being the sole shareholder) wealth.


Why did farmers grow cash crops?

They hoped the crops would bring more money


What is the amount of income that would result from an alternative use of cash called?

opportunity cost

Related questions

Why would someone invest in GM stock in this economy?

"GM stock has gone through a renovation, shedding unproductive components and streamlining operations. At time of the new IPO, GM was enjoying a robust cash flow and able to invest in new technologies quicker than expected."


What are the primary reasons that companies hold cash?

A company holding too much cash would be giving up the opportunity to invest more in income producing assets.


Why would a company invest in securities what provide no current cash flows?

A company may invest in securities that do not provide current cash flows for various reasons. These securities could offer potential future cash flows or capital appreciation. Additionally, investing in such securities can diversify the company's investment portfolio and provide avenues for long-term growth. Furthermore, it allows the company to strategically allocate excess cash or idle funds to create further value.


How a bank control its cash?

Banks invest in various ventures in order to make money from the money their customers invest.


What is quick cash flow and is it a good idea to invest in it?

A quick cash flow is irrelevant at this point. Invest in cash flow. Yes stick with traditional stocks and bonds , even though there are easier electronically ways to to do that, and increase your earning in that process.


When the owner invest cash in a business the owners capital account is?

debit


When the owners invest cash in a business do assets increase?

yes the will increase


Where is the best place to get a cash advance loan?

I would advise against using payday loans at all, but if you must use this service, Check Into Cash seems to have the best reputation of a sleazy bunch.


How did buying on margin allow more people to invest in market?

Buying on margin allow people to buy more stocks with only a fraction of the cash needed to buy those stocks. These allowed more people to invest in the stock market that would not afford to come up with the full cash to buy the stocks in question.


Is it risky to invest in cash flow notes?

Cash flow notes can be a risky invfestment. There is no gurantee that you are able to get your initial investment back.


Why would one want to cash in an endowment policy?

A big reason for why someone may want to cash in an endowment policy would be because they want to use the cash for profitable investments or simply to take a world cruise.


Can you give me some station cash codes for Free Realms?

that would be stupid for someone to do