Difference between revisions of "Lumpy asset"

From CNM Wiki
Jump to: navigation, search
m (Gary moved page Lumpy assets to Lumpy asset)
 
Line 1: Line 1:
[[Lumpy asset]] is an asset that cannot be acquired smoothly and instead require large, discrete additions. For example, an electric utility that is operating at full capacity cannot add a small amount of generating capacity, at least not economically.
+
[[Lumpy asset]] is an asset that cannot be acquired smoothly and instead require large, discrete additions. For example, an electric utility that is operating at full [[capacity]] cannot add a small amount of generating [[capacity]], at least not economically.
  
  
 
==Definitions==
 
==Definitions==
 
According to [[Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition)]],
 
According to [[Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition)]],
:[[Lumpy assets]]. Those assets that cannot be acquired smoothly and instead require large, discrete additions. For example, an electric utility that is operating at full capacity cannot add a small amount of generating capacity, at least not economically.
+
:[[Lumpy assets]]. Those assets that cannot be acquired smoothly and instead require large, discrete additions. For example, an electric utility that is operating at full [[capacity]] cannot add a small amount of generating [[capacity]], at least not economically.
  
 
==Related concepts==
 
==Related concepts==

Latest revision as of 00:37, 29 December 2020

Lumpy asset is an asset that cannot be acquired smoothly and instead require large, discrete additions. For example, an electric utility that is operating at full capacity cannot add a small amount of generating capacity, at least not economically.


Definitions

According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),

Lumpy assets. Those assets that cannot be acquired smoothly and instead require large, discrete additions. For example, an electric utility that is operating at full capacity cannot add a small amount of generating capacity, at least not economically.

Related concepts

Related lectures