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Ganesh Steel Ltd.' is a large and credit...

Ganesh Steel Ltd.' is a large and credit-worthy company manufacturing steel for the Indian market. It now wants to cater to the Asian market and decides to invest in new hi-tech machines. Since the investment is large, it requires long-term finance. It decides to raise funds by issuing equity shares.
The issue of equity shares involves huge floatation cost. To meet the expenses of floatation cost the company decides to tap the money market.
(a) Name the money-market instrument the company can use for the above purpose.
(b) What is the duration for which the company can get funds through this instrument ?
(c) State any other purpose for which this instrument can be used.

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Ganesh Steel Ltd.' is a large and creditworthy company manufacturing steel for the Indian market. It now wants to cater to the Asian market and decides to invest in new hi-tech mechines. Since the investement is large, it requires long-term finance. It decides to raise funds by issuing equity shares. The issue of equity shares involves huge floatation csot. To meet the expenses of floatation cost the company decides to tap the money-market. (a) Name and explain the money-market instrument the company can use for the above purpose. (b) What is the duration for which the company can get funds through this instrument? (c) State any other purpose for which this instrument can be used.

Shreya Ltd. is a large credit-worthy company manufacturing automobiles for the India market. It now wants to cater to the other market and decided to invest in new machines. For this, it requires long-term finance. It decides to raise funds by issuing equity shares. The issue of equity shares involves huge floatation cost. To meet the expenses of floatation cost the company decides to tap the money market. (a) Name and discuss the money market insutrument the company can use for the above purpose. (b) What is the duration for which the company can get funds through this instrument ? (c) State any other purpose for which this instrument can be used.

What are the advantage and disadvantages of issuing equity shares ?

What adventages does issue of debentures provide over the issue of equity shares ?

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