Debt Financing Cost Evaluation Method of Shipping Enterprises

Abstract

Li, X., 2020. Debt financing cost evaluation method of shipping enterprises. In: Yang, Y.; Mi, C.; Zhao, L., and Lam, S. (eds.), Global Topics and New Trends in Coastal Research: Port, Coastal and Ocean Engineering. Journal of Coastal Research, Special Issue No. 103, pp. 744–748. Coconut Creek (Florida), ISSN 0749-0208.Due to the traditional enterprise debt financing cost evaluation method, aiming at the problem of poor cost evaluation performance of shipping enterprises, this paper proposes a method to evaluate the debt financing cost of shipping enterprises. The paper divides the cost of debt financing strategy into two types: explicit and implicit. To identify the cost of the debt financing strategy of these shipping enterprises. According to the identification results of the debt financing strategy cost of shipping enterprises, the relevant variables of the debt financing cost of shipping enterprises are defined, so as to construct the debt financing strategy cost model of shipping enterprises. It includes the cost model of accounts receivable financing strategy, the cost model of inventory pledge financing strategy, and the cost model of prepayment financing strategy. Based on the debt financing strategy cost model of shipping enterprises, this paper constructs the debt financing cost evaluation model of shipping enterprises, so as to realize the debt financing cost evaluation of shipping enterprises. In order to prove that the cost evaluation performance of the debt financing cost evaluation method of shipping enterprises is better, the traditional evaluation method is compared with this evaluation method. The experimental results show that the cost evaluation performance of the debt financing cost evaluation method of shipping enterprises is better than the traditional method.