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In: Accounting

What does it mean when it asks to determine the owner and creditor financial levels?

What does it mean when it asks to determine the owner and creditor financial levels?

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Expert Solution

It means the share the owner is going to bear and the share he is expecting the creditor to bear in any particular project or investment.

For eg., there is a project worth $1,000,000 where owner can contribute upto $250,000, he is in need of $750,000, in this case, the owner and creditor financing level is 25:75.

ekkarill92 answered 2 years ago
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