--%>

Describe Long Holding Period

Describe Long Holding Period briefly with suitable example?

E

Expert

Verified

Long Holding Period: Whenever an investor buys an asset for 5 or more years, then it will be his long holding period. For illustration, a person invested in SBI FD for ten years with the rate of interest of 9%. Therefore, 10 years is his long holding period.

   Related Questions in Financial Accounting

  • Q : Financial institutions & Economic growth

      It started with the US sub-prime mortgages on housing loans, which became worthless when home owners defaulted on their loans. The housing market promptly collapsed, wiping out Wall Street's revered investment banks and pull

  • Q : Bretton Woods’s system programmed to

    Comment over the below proposition: “One can say that Bretton Woods’s system was programmed to the eventual demise”. 

  • Q : Case study of harvesting a tree

    Recently, a friend accused her neighbor of harvesting a tree (sapling of balsam fir, Abies balsamea) from her land without permission. Her neighbor claims that he bought it from a Christmas tree plantation (growing in a clearing down the road).  Your friend says

  • Q : What is correspondent bank relationship

    Explain what you mean by Correspondent bank relationship.

  • Q : Case study of Espresso Tax Seattle is

    Seattle is currently considering a 10-cent tax on espresso drinks to pay for pre-school and day-care programs. The legislation’s sponsor, Rep. Burbank, argues that people who spend $3-5 on exotic espresso based coffee drinks can afford – and will be &ldquo

  • Q : Essay-People Dependent on technology

    PEOPLE DEPENDENT ON TECHNOLOGY TOO MUCH: Science has developed tremendously in past few years and with the development of science many technologies have entered this world. Today everything is being done with the h

  • Q : Cash flows from operating activities A

    A financial analysis tools that measures the need for financing. The formula is the cash-flow from operating activities divided by the cash paid for long-term asset. Cash paid for long-term assets can be found on the statement of cash-flow, in the investing-activities

  • Q : Relative and absolute purchasing power

    Explain about the purchasing power parity, both the relative and absolute versions. List the things which results in the deviations from purchasing power parity?

  • Q : Investors investing within the lion’s

    Explain why do investors invest within the lion’s share of their funds within the domestic securities?

  • Q : Capital budgeting analysis imperative

    State why is capital budgeting analysis so imperative for the firm?