All Questions
8 questions
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Meaning of $\frac{A}{r}$ in standard debt model:
Given the model of debt and repayments given by the first-order linear ordinary differential equation (ODE):
$\frac{dD}{dt} - rD = -A$
In this model, $D(t)$ represents the consumer's debt at time $t$, ...
- 1,011
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0
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46
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Why would a company file for bankruptcy now when it can always do so later?
Taking FTX as an example, I know they took depositors' funds, send them to SBF's other company Alameda Research which then made risky crypto investments and failed.
This made FTX hold less assets than ...
- 2,351
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2
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55
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Understanding Debt Deflation
I read the following explanation for debt deflation in my textbook:
To better understand how this decline in net worth occurs, consider what happens if a firm in 2018 has assets of 100 million (in ...
- 99
2
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2
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115
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Does a private company that is 100% financed by a bank loan have a WACC equal to the interest rate?
When estimating a company's Cost of Debt for a Weighted Average Cost of Capital (WACC) calculation we normally look into its bond yield. But for a private company with 100% debt capital structure, ...
- 237
0
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1
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What country has the highest requirements for loans?
I was looking to find countries with the toughest regulations on loans(general loans not any specific ones)
By that I mean:
I mainly care to know where it is toughest for people to get a loan from a ...
1
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1
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108
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Is the shareholder-creditor conflict the same as debt-equity conflict?
I am having some problems understanding the difference between shareholder-creditor conflict and debt-equity conflict.
I understand what the shareholder-creditor conflict is about, but when I try to ...
- 113
2
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1
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33
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Why monthly present in on line monthly payment calculator calculates as annual percent divided by 12?
Why monthly present in on line monthly payment calculator calculated as annual percent divided by 12? I think it's wrong, it should be exponential. For instance annual percent 4%. To calculate monthly ...
- 23
2
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Who owns German debt?
I know that Germany has huge external debt. I don't know how to find out which entities own this and especially which country they belong to.
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