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MGT601 current midterm subjective Dec 2012:::

BY::::: USMAN ATTARI

 

Overcapitalization 

A company is said to be overcapitalized, when its total capital (both equity and debt) exceeds the true value of its assets. It is wrong to identify overcapitalization with exess of capital because most of the overcapitalized firms suffer from the problems of liquidity. 

Undercapitalization

Under-capitalization is just the reverse of over-capitalization. A company is considered to be under-capitalized when its actual capitalization is lower than its proper capitalization as warranted by its earning capacity.

 

Pre and post organization problems

he following seven problem levels are an indication of this:

1.      First level problems: direct consequence of lack of adequate economic resources, e.g. malnutrition, disease, rich‑poor gap, etc.

2.      Second level problems: social consequences and repercussions of the presence of primary problems, e.g. refugees, illiteracy, crime, etc.

3.      Third level problems: economic and social consequences of adaptation to an environment modified by the presence of primary and secondary level problems, e.g. population explosion, impoverishment of social structures, urban decay, mental health, delinquency, discrimination, etc.

4.      Fourth level problems: organizational (or societal) coordination and resource allocation problems (arising from the institutionalisation of organized response to past low level problems) which prevent adequate response to current problems, e.g. problems of coordination and resource allocation between agencies interested in lower‑level problems previously considered to be isolated and now recognized to be interacting. Selection of high priority projects, design of adequate systems, value‑related problems, problems of relevance, credibility. etc.

5.      Fifth level problems: conceptual, psychological and cultural problems (deriving from the difficulties of communication in the fragmented environment characterized by the presence of fourth level problems) which prevent decision‑makers and their supporters from being able to justify inter‑territorial, inter‑disciplinary or inter‑jurisdictional solutions — thus reinforcing fourth level problems and positions, e.g. problems of meaning of same terms in different cultures or disciplines, problem of establishing criteria of relevance to a spectrum of disciplines and interests, problem of focussing on the interdependence of disciplines and interests, problems of defining integrated closed systems.

6.      Sixth level problems conceptual and cultural problems opposing awareness of society as an ongoing integrated process with a multiplicity of social entities and subprocesses in ecological balance— providing a framework for the solution of fifth level problems.

7.      Seventh level problems: problems deriving from lack of awareness on the part of social entities of their particular positive and negative functions in the social process in which they are embedded—namely feedback sensitivity of organizations, disciplines and individuals.

The first two levels are generally recognized within governmental programmes, the third in the more farsighted government programmes (e.g. Unesco), the fourth level by those studying the problems of planning and decision‑making, the fifth level and above are only noted in isolated studies and analyses of the social crisis.

What are the reasons for different sizes of firm?

 

Size of market 
Capital employed 
Organisation or structure of firm 
Barriers to entry 
No. Of employees 
Market share 
Rate of integrations it means merger and acquisition

 

 

Why good cash flow important

Ye theak a ap pasa mazeed udhar lanay jatay o as a company to ap ki company achay hall main o gi to better but finance par k nai pta lagda

As a borrower, you must show that your performance is positive and that operations are not only profitable but also generate enough cash to cover all your commitments.

 

In Pakistan 3 basic issues in SME development( a v theak ay

Business Environment

Delivery of Assistance and Access to Resources

Monitoring Developments

 

What are Natural Calamities?         achanak kuj o jana

Natural calamities such as burglaries, earthquakes, fire etc.

 

Write cash flow items

Page 51


Write factors that how to avoid barrier in under capitalization....labda ty phly e likh dana c


Means of value added in a product. And example

Ye check kri theak a answer

 

The worth placed on a product by a particular stage in the production process

Three more value added items namely knitwear, bed wear and ready-made garments have joined the fabrics in the elite club of billion dollars in export of textile goods.

Han theak a k mai to kaparay e hotay a but jub unay thora stylish kar dya jata a jasay ready made to un ki value barh jati a


 It was about entrepreneur's fear about risk. internar source of information for seeking new idea

 

 

 

How can product use as a source of new product and example

Milk say butter margarine skimmed milk agar ap milk sale kartay o to ye different productb sale kar saktay o

 Usman Attari Thanks for sharing 

thanku so much

Thanx a lot Usman bhai

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