• Q : Analysis of long term investment....
    Finance Basics :

    A company is planning to invest $75,000 (before taxes) in a personnel training program. The $75000 outlay will be charged off as an expense by the firm this year (Year 0)

  • Q : Determination of bonds value....
    Finance Basics :

    Assume Venture Healthcare sold bonds that have a 10-year maturity, a 12% coupon rate with annual payments, and a $1,000 par value. Suppose that two years after the bonds were issued, the required inte

  • Q : Determine average rating for the week....
    Finance Basics :

    Most publicly traded companies are analyzed by numerous analysts. These analysts often don't agree about a company's future prospects. In this exercise you will find analysts' ratings about companies

  • Q : Calculation of variances....
    Finance Basics :

    The Litton Company has established Standards as follows, the company applies variable manufacturing overhead to products on the basis of standard direct labor hours

  • Q : Make a properly formatted income statement....
    Finance Basics :

    Niesen Corporation has two major business segments-consumer and commercial. Data for the segment and for the company for August appear below:

  • Q : Calculate lowest acceptable transfer price....
    Finance Basics :

    The commando motorcycle company has decided to become decentralized and split it's operations into two divisions. Motor and Assembly.Both divisions will be treated as investment centers.

  • Q : Problems on country risk assessment....
    Finance Basics :

    You are working for McDonalds Corporation. You want to do a Country Risk Assessment for Iran for the current year to decide whether you should operate a Franchise there.

  • Q : Computing expected return and standard deviation....
    Finance Basics :

    The U.S. market has an expected return of 12% and a standard deviation of 22%. An index mutual fund that matches the Morgan Stanley Europe, Australia, and Far East Index (EAFE) has an expected return

  • Q : Estimating current stock price....
    Finance Basics :

    Otobai Motor Company is currently paying a dividend of $1.40 per year. The dividends are expected to grow at a rate of 18% for the next three years and then a constant rate of 5% thereafter forever.

  • Q : Calculate risk premium on the market....
    Finance Basics :

    Risk Free rate 4% and the expected return on the market portfolio is 12%. Using the capital asset model, What is the risk premium on the market?

  • Q : Modulas expectations....
    Finance Basics :

    Internal financial information is not available to public, so we have to rely on external information for our analysis. Review the financial statements for two years for your company which is Walgreen

  • Q : Making buy sell recommendation....
    Finance Basics :

    Make recommendations: on the following two companies, From an investor's perspective of whether one should buy/sell/remain neutral on both stocks.

  • Q : Compounding help increase debt over time....
    Finance Basics :

    Applications and Theory textbook by Cornett, Adair, and Nofsinger provides an introduction to the main concepts of the time value of money for a single cash flow amount.

  • Q : Determine the expected cash payoff....
    Finance Basics :

    A game of chance offers the following odds and payoffs. Each play of the game costs $100, so the net profit per play is the payoff less $100. Probability .10, .50 and .40. Payoff is $500, 100 and 0. n

  • Q : Real companies with negative betas....
    Finance Basics :

    There are few, if any, real companies with negative betas. But suppose you found one with B=-,25. How would you expect this stock's rate of return to change if the overall market rose by an extra 5%?

  • Q : Determination of financing requirements....
    Finance Basics :

    Bander Co. is determining how to finance some long-term projects. Bander has decided it prefers the benefits of no fixed charges, no fixed maturity date and an increase in the credit-worthiness of the

  • Q : Explain the financial requirements for the venture....
    Finance Basics :

    I need help with developing the rudiments of a financial plan. The questions are relative to an etiquette and image consultant, one-owner, corporation type business.

  • Q : Determine objective of financial reporting....
    Finance Basics :

    The chairman of the board of directors of the company for which you are chief accountant has told you that he has little use for accounting figures based on cost. What is the objective of financial re

  • Q : Determine increase in the stock variance....
    Finance Basics :

    The standard deviation of the market index portfolio is 20%. Stock A has a beta 1.5 and residual standard deviation of 30%.

  • Q : Calculating npv and standard deviation of npv....
    Finance Basics :

    The managers of Merton Medical Clinic are analyzing a proposed project. The project's most likely Net Present Value (NPV) is $120,000, but, as evidenced by the following NPV distribution, there is con

  • Q : Determine expected stock value....
    Finance Basics :

    Piedmont Enterprises currently pays a dividend (D0) of $1 per share. This dividend is expected to grow at a 20 percent per year for the next 2 years, after which it is expected to grow at 6 percent pe

  • Q : Determine the maximum sales loss....
    Finance Basics :

    The Healthy Spring Water company sells bottled water for offices / homes. The price of the water is $20 per 10 gallon bottle and the company currently sells 2,000 bottles per day.

  • Q : Public company accounting and investor protection act 2002....
    Finance Basics :

    You have been asked to write a report for a group of new stock brokers about the NYSE-Euronext and the NASDAQ. If you visit both the NYSE Homepage, and the NASDAQ Homepage, 

  • Q : Calculating average pay....
    Finance Basics :

    At a national seashore, the number of swimmers per day who require lifeguard assistance averages 4.1. On any day when 7 or more swimmers are assisted, the lifeguards receive a $20 bonus for extra effo

  • Q : Computing the productivity ratios....
    Finance Basics :

    Howard, Inc produces carbon graphite fiber shafts for Calloway golf clubs. Last year their average monthly production included 19,000 shafts using 1 shift of 3 technicians working 20 days a month and

©TutorsGlobe All rights reserved 2022-2023.