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Balance sheet assets and credit rating: what's the connection?

Bradford J Stephan1

  • 1SEI, Oaks, PA, USA. bstephan@seic.com

Related Concept Videos

Equity Theory01:26

Equity Theory

Equity theory explains how our sense of fairness influences the dynamics of close relationships. Rooted in social psychology, the theory posits that individuals evaluate fairness by comparing the ratio of their contributions to the rewards they receive. Relationship satisfaction is highest when these ratios are perceived as balanced between partners, promoting mutual reciprocity and a sense of justice.Equity vs. Equality in RelationshipsEquity is distinct from equality. Fairness does not...
Social Exchange Theory01:26

Social Exchange Theory

As formulated by John Thibaut and Harold Kelley, Social Exchange Theory explains human relationships as economic-like exchanges that maximize rewards and minimize costs. This theory suggests that individuals engage in relationships to gain benefits and reduce burdens, similar to economic transactions. It has been widely applied to various types of relationships, including romantic, professional, and social interactions.Rewards and Costs in RelationshipsRelationship rewards include emotional...
Equivalent Capacitance01:19

Equivalent Capacitance

Multiple capacitors can be connected in a circuit in series or parallel configuration. When the capacitor combination is connected to a battery, the potential drop across each capacitor and the magnitude of charge stored in the individual capacitor depends on the type of the connection. The capacitor combination is replaced by a single equivalent capacitor that stores the same amount of charge as the combination for a given potential difference.
The following strategies are adopted to calculate...
Capacitors in Series and Parallel01:19

Capacitors in Series and Parallel

Multiple capacitors connected serve as electrical components in various applications. These multiple capacitors behave as a single equivalent capacitor, and its total capacitance depends on the capacitance of individual capacitors and the type of connections. Capacitors can be arranged in two - orientations, either in series or parallel connections.
Suppose the capacitors are connected one after the other such that the negative terminal of the first connects to the positive terminal of the...
Ratio Level of Measurement00:54

Ratio Level of Measurement

The way a set of data is measured is called its level of measurement. Correct statistical procedures depend on a researcher being familiar with levels of measurement. For analysis, data are classified into four levels of measurement—nominal, ordinal, interval, and ratio.
A set of data measured using the ratio scale takes care of the ratio problem and provides complete information. Ratio scale data are like interval scale data, except they have a zero point and ratios can be calculated. For...