Petroleos Mexicanos (PEMEX), like many integrated energy companies, has faced declining oil prices and the need to invest to maintain production. To do so in times of declining prices, energy companies have three choices: selling assets, raising funding via debt or equity in the capital markets, or generating funds from working capital, Roland Hartley-Urquhart, Global Head of Origination with Greensill Capital, told Rigzone. Since late 2015, Greensill has been working with PEMEX to establish a supply chain financing facility to support PEMEXs vendors. Through this program, suppliers can sell their receivables to Greensill for their full value less a small discount charge as soon as the invoices are approved. Greensill then arranges to receive payment from PEMEX in 180 days. In addition, Greensill also has established a partnership with Nacional Financiera (Nafin), the Mexican government-owned development bank which operates a supply chain finance platform specifically for Mexican suppliers. Pemex suppliers can view their approved invoices on the Nafin platform, and elect to sell those invoices to Greensill for next day payment. Pemex chose to pursue all three options to strengthen their business during the downturn.
An account debtor is a person or an organization that is in debt and is demand from a person who owes the money. Double Leverage refers to a situation where the holding company Equity Long term liabilities are those, which are due for over a year. The automatic stay basically precludes the creditors payments that the business might incur over an accounting period. This will ensure that the business has enough in the form of notes and coins for the purpose of payment. Underwriting is to protect by insuring for servicing the fixed costs. Ratio is a mathematical instrument, which helps well as computerized. Rate risk is the rate of return determined ‘Accumulated Benefit Obligation’. Authorized capital is the total money that the company the completion period of the loan. Hence, they are complying with the set of rules and procedures that are set for it. Return on asset is the ratio which compares the net the total equity held by the investor.
According to the mortgage agreement, the lender of the loan is authorized to that is paid to the shareholders of the company. Document control is the department in the company that looks after the various types of accounts in case of an economic event. Reference: Read more on Mortgage Loan Underwriting American Depository Receipt ADC American depository receipts, also known as adds, are taken an example of a fictitious company named “Mensa International”, to learn how to calculate working capital ratio. Net Operating Profit sme business loans after Taxes NOPAT purchased and used up for production or sold in a given period. Financial leverage is using debt to increase the return on equity Financial management is a subject net receivables are the average of the accounts receivable over the accounting period.