Study On The Financing Decision In A Real Estate CO., Ltd

Financing activities of listed companies are always hot on topic of discuss inChinese's Securities Market. This is an important subject of theoretic and realisticsignificance about formulating standardization of financing decision and thoroughdiscussion on capital structure. The theoretical basis guiding this thesis is M&Mtheory, trade-off theory, and financing order theory. Synthetic using the methods ofaccounting and sense of administration, based on the cash flow analysis together withbalance sheet and income sheet, the thesis makes a quantitative study on wholefinancing decision and gives a feasible scheme.First, the thesis gives logical train of thought for enterprise's financing decision.The thesis describes financing background, internal and external environment of AReal Estate CO., Ltd. Further want to explore the deeply reason of unhealthyphenomenon of financial activities in Chinese's Securities Market. How clearly thatthe decision factor of financing decision is value of enterprise. A Real Estate CO.,Ltd. should appropriately finance depend on its superiority.Second, using some subjects such as Corporate Financial Management, Statistics,Managerial Economics, etc, it analyses influence factors and relations among themfor enterprise value maximum. Decision Mathematics Model can analyze financingdecision quantitatively, it has increased the operational function for enterprise.Financial analyze is for the purpose of determine enterprise value, determineenterprise value is for make optimal financing decision. Financing decision has beenmade of scientific, systematic and direct. It's a reliable basis for financing decision.Finally, according to the general strategic, with the conclusion of major factorsof financing decision analysis, the thesis contrast and analyze the feasibility ofseveral different schemes, and then maintain that the optimum financing decision ofthe enterprise is re-issuing new shares. The thesis examines the re-issuing new sharesfrom various angles, gives new financing plan. It investigates enterprise'sadministration and makes several constructive suggestions.It is a representative case for financing decision of A Real Estate CO., Ltd. Theconclusion of this thesis has reference value for other listed companies, s financingdecision and optimum capital structure.