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Implications of Investment Ratios to Existing and Potential Investors
Investment ratios are the most used tools to gauge financial strength and used as investment decision-making tools. Both existing and potential investors
AstraZeneca plc is better positioned to attract more investors and look into the welfare of existing ones.
Capital Structure the Companies and Their Past Implications
Both companies are listed in London Stock Exchange; they thus offer shares to the public. AstraZeneca has a policy that gives rights to employees to own shares in the company as a motivational measure. Shares are issued at a premium to the public and to employees under the employee ownership policy. The company also has borrowed capital to finance different programs both long-term and short-term borrowings. It also leases some assets.
SHP offers share to the public through London Stock exchange. It has a staff company ownership where it sells shares to staffs at subsidised rates. A large portion of the companys capital is borrowed capital mostly form financial institutions; it also leases some assets (Helfert
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