Question: q1: Leverage involves using fixed costs to magnify the potential return to a firm. Explain the hedging (maturity matching) approach to financing q2: 2. Illustrate

q1:

Leverage involves using fixed costs to magnify the potential return to a firm. Explain the hedging (maturity matching) approach to financing

q2:

2. Illustrate the relationship between profitability, liquidity, and risk in the management of working capital.(3 MARKS)

q1: Leverage involves using fixed costs to

2- A job has four men available for work on four separate jobs. Only one man can work on any one job. The cost of assigning each man to each job is given in the following table. The objective is to assign men to jobs such that the total cost of assignment is the least. Compute for the optimum assignment cost using the assignment method. (15 marks)

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