Difference between revisions of "Informal debt restructuring"
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==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)]], | ||
| − | :[[Informal debt restructuring]]. An agreement between a troubled firm and its creditors to change existing debt terms. An extension postpones the required payment date; a composition is a reduction in creditor claims. | + | :[[Informal debt restructuring]]. An [[agreement]] between a troubled firm and its creditors to change existing debt terms. An extension postpones the required payment date; a composition is a reduction in creditor claims. |
==Related concepts== | ==Related concepts== | ||
Latest revision as of 04:31, 8 December 2020
Informal debt restructuring is an agreement between a troubled firm and its creditors to change existing debt terms. An extension postpones the required payment date; a composition is a reduction in creditor claims.
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- Informal debt restructuring. An agreement between a troubled firm and its creditors to change existing debt terms. An extension postpones the required payment date; a composition is a reduction in creditor claims.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
