A note on inventories and commercial paper yields

Winters [Winters, D. B. (October 2002) Commercial paper: A colossal market. The Federal Reserve Bank of St. Louis-National Economic Trends, Cover Page], shows that the amount of non-financial commercial paper outstanding is positively correlated to the amount of total business inventory. In this paper, we extend his work by showing that total business inventory has a significant impact on the non-financial commercial paper yields. We use regression analysis for studying the relationship between inventories and their impact on the spread between commercial paper and Treasury bills. Our results have implications for money market arbitrage, monetary policy, working capital management for corporations and stock valuation.Inventories Commercial paper outstanding and Commercial paper yields

STRUCTURAL, THERMAL AND CONDUCTIVITY STUDIES OF PAN-LIBF4 POLYMER ELECTROLYTES

The polymer electrolytes with various compositions of Polyacrylonitrile/N-N Dimethylformamide (DMF)/Lithiumtetrafluoroborate (LiBF4) are synthesized by solution casting technique. The free standing, clear and transparent 60-80 micron thick films are formed. The promising structural and complexation changes in polymer electrolytes have been explored by X-ray diffraction (XRD) and Fourier transform infra-red (FTIR) techniques. The thermal properties of all solid polymer electrolytes (SPE) were studied by Thermo gravimetric Analyzer (TGA) and Differential Thermal Analyzer (DTA). The electrical properties, i.e., ionic conductivity of solid polymer electrolytes has been measured as a function of temperature and composition. A Polymer membrane for 3 wt. % of salt has a conductivity of 3.06x10-4 mScm-1 at room temperature and 1.53x10-3 mScm-1 at 358K. The conductivity values increased with increase in temperature and offered an ionic conductivity of the order of 10-3 mScm-1 at temperatures 358K. Activation energy, enthalpy and entropy values are determined for all polymer complexes

The Impact of the October 2013 Government Shutdownand Debt Ceiling on U.S. Treasury Default Risk

The study examines the impact of the partial U.S. government shutdown of October 2013 on the yields of Treasury bills. The authors find that there was a significant impact on the yields of four-week Treasury bills as compared with high-quality commercial paper. They do not find a similar impact on the yields of Treasury bills of three-month maturity. The analysis is based on the results of t-tests, regressions, and nonparametric tests, and the results are robust across the methodologies. The study has important implications for academics, market participants, and lawmakers

The Days to Pay Accounts Payable Determinants - Financing, Pricing Motives and Financial Substitution Effect - A Panel Data GMM Estimation from European Western Countries

Documento de Trabajo 03/10 perteneciente a la colección de documentos de trabajo "Nuevas Tendencias en Dirección de Empresas", dentro del Máster en Investigación en Economía y Empresa.[ES]En este trabajo se propone elegir a los días para pagar las cuentas por pagar y los factores determinantes de nuestra resultados apoyan firmemente que las cuentas por pagar problemática está estrechamente relacionado con el corto plazo decisiones financieras con una influencia positiva y significativa de la rentabilidad empresarial y el tamaño factores. La existencia de capital de trabajo negativo de la empresa se confirma a influir fuertemente en la reducción del crédito comercial obtenido de los proveedores en países de Europa Occidental en paralelo con una contribución conjunta de la financiación bancaria a corto y largo plazo como un sustituto de la deuda comercial.[EN]This paper proposes to elect the days to pay accounts payable determinants and our findings strongly support that the accounts payable problematic is closely related to short term financial decisions with a positive and significative influence of firm’s profitability and size factors. The existence of a firm’s negative working capital is confirmed to influence strongly the reduction of the trade credit obtained from suppliers in Western Europe countries in parallel with a joint contribution of short and long term bank financing as a substitute from trade debt. Firm characteristics related to negative working capital and fixed assets level, jointly or alone, give more importance to the role of short term bank financing on substituting or reducing the volume of trade credit obtained from suppliers. Negative working capital reinforces the role of long term bank financing. It seems to induce the presence of a corporate cost reduction strategy to preserve or increment the firm’s market reputation and competition. The firm’s return on assets implies an enlargement of the days to pay accounts payable in line with a rising creditworthiness. All interacted variables are responsible for the reduction of the days to pay accounts payable and the confirmation of the financial substitution effect introduces more financing discipline compatible with firm’s cost reduction strategy and pricing motives included in a price discrimination strategy. Signs of future unbalanced capital structure and financial distress may appear due also to the more banking financing justified by firm’s investment and negative working capital under finance motives point of view. The more firm’s growth the less trade credit obtained and, on the contrary, profitability and size contribute to facilitate the trade credit obtained from suppliers under finance and pricing motives point of view, more over the stability on terms trade credit. As important as the days to pay accounts and/or days sales outstanding determinants are future investigations related to trade credit duration gap as a synthesis of the prior trade credit issues, to country and economic sector or union analysis, as well