Impact of Overcapitalisation and What Can You Do to Solve It
Companies that emphasise high profitability will carry shorter lines consisting of carefully chosen items. “A certain degree of overcapitalisation ,”says Beacham, “may be caused by heavy issue expenses”. If expenses incurred for promotion, issue and underwriting of shares, promoters’ remuneration etc., prove to be higher compared to the benefits they provide, the enterprise will find […]
