How you can predict future evolution of value of shares
Could we suppose that, as we cannot predict the future evolution of the value of shares, a good estimation would be to consider this constant during the next five years?
Expert
Such affirmation is an error. The relation among the value of the shares of various years is: Et = Et-1 (1+Ket) – CFact. The shares value is constant (Et = Et-1) only when CFact = Et-1 Ket. It happens in non-growing perpetuities.
Describe the term Zero Coupon Bonds in Corporate Bonds?
Does this make any sense to form a portfolio comprised of companies along with a higher return/dividend?
Which determines the shape of the term structure of Interest rates?
Rusk Inc needs $50 million in new capital that it might obtain by selling bonds at par with coupon of 12% or by selling stock at $40 (net) per share. The current capital structure of Rusk consists of $300 million (face value) of 10% coupon bonds selling at 90 and 10 m
Stock variable: It is a variable whose value is measured or evaluated at a point of time.
Workpapers: In finance world, work papers are documents which are created during the procedure of computing the financial records of a business or individual. The accounting professional which is tasked with examining the book-keeping of a business mi
Who demonstrated that how to match theoretical and market prices for normal bonds?
Explain the Monte Carlo evaluation of integrals.
What is nonlinearity in option pricing model?
Various broad research methodologies are available with which to study the development of accounting theory. a. Discuss the deductive, inductive, normative, and empirical research methods.
18,76,764
1938727 Asked
3,689
Active Tutors
1450687
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!