Examlex
Fisher's least difference (LSD) method is applied when the:
Default Risk
Default risk is the likelihood that a borrower will be unable to make principal and interest payments on a debt, potentially leading to financial loss for the lender.
Marketability
The ease with which an asset or security can be sold or bought in the market without affecting its price.
Target Cash Balance
The ideal amount of cash that a business aims to maintain to handle day-to-day operations and contingencies.
Transaction Needs
Describes the demand for money for the purpose of conducting daily transactions, such as purchasing goods and services.
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