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Hi everyone,How could i rewrite these sentences with different words?Through the finance result the value of debt could be decline. It could be more than compensated through the gains in share price at the cost of the finance provider in terms of the loss in the value of share from regrettable investments. Is there any mistakes in sentences? I would be happy to know as well.Helps are appreciated Thanks in advance.

Clive · Accepted Answer

I have no idea what that means. Do you?

Clive

Virginia274 · Answer

Well, I don't know as well. I thought I might not be able to understand it myself! So it has problems totally. Is there anyways to make it have a meaning?

Here is the whole part of the context.

Secondly, it can be conflicts between the interests of equity holders and debt holders (Meckling and Jensen, 1976). If a finance provider financed with debt giving high returns then the shareholders are allowed to the gains. For instance, if the investment does not make profit, the debt holders experience the losses due to limited liability of the shareholders. As a consequence, shareholders may gain from investing in high risky projects in fact they are value decreasing. Through the finance result the value of debt could be decline. It could be more than compensated through the gains in share price at the cost of the finance provider in terms of the loss in the value of share from regrettable investments. Through impressive certain conditions on the company the lenders to the firm protect themselves against expropriation. These situations are known as protective covenants and it remains in a strong marls till the debt is repaid and these circumstances may include to limitations on future lending in the firm and co-operate to payment of dividends, sale of assets, managerial payment, limitations on new finance. These situations could direct to subsidiary operations resulting in inefficiencies. Generally, the money providers keep the place strict monitoring and corrective mechanisms to overcome the debt covenants. To monitoring and look after the cost it approved in to the firms in the kind of higher cost of debt.

Clive · Answer

It's very poor English, and probably not written by a native speaker.
My advice is to forget it. Just try to write your own thoughts on the topic, and we can check your work.

Clive

Virginia274 · Answer

Hmm, Your right

Thank you so much

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