Page 211 - Finance for Non-Financial Managers
P. 211

Siciliano11.qxd  2/8/2003  7:28 AM  Page 192
                                      Finance for Non-Financial Managers
                               192
                                   are both ways to finance the acquisition of equipment. They
                                   differ mostly in the strength of the lien held by the lender,
                                   the size of the monthly payments, and the net borrowing
                                   cost. Again, shop around.
                               ❏ Dilution can lower the value of your investment even when
                                   things are going well. Pay attention to the potential dilutive
                                   effects of the actions of any company in which you hold
                                   stock. The most common examples are stock options and
                                   new stock sales.
   206   207   208   209   210   211   212   213   214   215   216