Assignment 6 FIN321 Winter 2015 Using a Broker - Buying on Margin - Selling Short 1. Your friend Joe will begin saving for his retirement after he graduates in December. He is trying to decide whether he will employ the services of an investment company or build his own portfolio. Which do you think Joe ought to do? You know him as well as anybody! Explain to Joe why he ought to follow the path that you recommend. (Please talk directly to Joe!) Joe‚ you should invest your retirement savings
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Executive Summary This report aims at analyzing the types of working capital loans enjoyed by local RMG manufacturers from one of the renowned bank UCB (United Commercial Bank Ltd.). The reason we have selected such bank is that this bank is one of the well-known banks of our country and provides a large sector of loan to the readymade garments sectors. Thus they were able to provide us with the vital information that will enrich the quality of the report. All the documents used in the report are
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Inc. is one of the biggest American multinational retail companies that operate chains of large discount department stores and warehouse stores. Wal-Mart is the world’s largest company by revenue‚ the biggest private employer in the world with over two million employees and the largest retailer in the world and also one of the world’s most valuable companies in terms of market value and is also the largest grocery retailer in the US. Wal-Mart Stores‚ Inc. operates retail and other stores in various
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annual coupon bonds of the ABC Co. are selling for $880.76. The bonds mature in 10 years. The bonds have a par value of $1‚000 and payments are made semi-annually? What is the before-tax cost of debt? Enter your answer in percentages rounded off to two decimal points. Do not enter % in the answer box. Selected Answer: 9.91 Correct Answer: 9.91 Answer range +/- 0.05 (9.86 - 9.96) Response Feedback: NPER = 10* 2 RATE = ? * 2 = Answer = 4.953 * 2 = 9.91% PV = -880.76 PMT = 1000 * 8%/2
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Corporation. 2. Goal of the firm: Shareholder wealth maximization (making decisions that will maximize the value of the firm’s common stock over the long haul). Most stockholders care about one of the following two aspects of owning common stock and many care about a combination of the two: A. Dividends B. Growth potential (stock price appreciation) 3. Investors are more concerned about EPS than about total corporate profits since EPS represents their personal share of net income. 4. Sarbanes-Oxley
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one of the most burning problems of nowadays. Now millions of chimneys‚ cars‚ buses‚ trucks all over the world exhaust fumes and harmful substances into the atmosphere. These poisoned substances pollute everything: air‚ land‚ water‚ birds and animals people. So‚ it is usually hard to breathe in the large cities where there are lots plants. Everything there is covered with soot and dirt. All these affect harmfully. Environmental pollution is one of the most acute problems of modern society. The Earth
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Financial Analysis of Coca-Cola Company - February 7th‚ 2011 The Coca-Cola Company (NYSE: KO) is a beverage retailer‚ manufacturer and marketer of non-alcoholic beverage concentrates and syrups. The company is best known for its flagship product Coca-Cola‚ invented by pharmacist John Stith Pemberton in 1886. The Coca-Cola formula and brand was bought in 1889 by Asa Candler who incorporated The Coca-Cola Company in 1892. Besides its namesake Coca-Cola beverage‚ Coca-Cola currently offers more than
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Chapter 1 – Introduction to multinational finance Introduction of international business finance Three phases of business o Domestic phase : operations are confined within the boundaries of one country o International trade phase : the firm imports materials or export its product or both o Multinational phase : the firm establishes operations overseas Structure of a multinational corporation Board of Directors Management Shareholders Debt Assets Equity o o o o o The firm can be viewed
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Suppose that the current Bid-Offer on the Euro is $1.21/E and $1.23/E‚ and the three-month forward is $1.185/E. 1. If you wish to hedge 100‚000 Euro Revenue due in three months‚ what position would you take? Explain why. a. Buy Euro forward at $1.23/E b. Buy dollars forward at $1.23/E c. Sell Euro forward at $1.185/E d. Sell dollars forward at $1.21/E e. Buy Euro forward at $1.185/E 2. If the Bid-Offer at maturity is $1.17/E and $1.19/E (assume the bank is following the same quote convention)
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This paper will cover the advantages and disadvantages within the four types of business structures; Limited Liability Corporations‚ Corporations‚ Partnerships‚ and Sole Proprietorships. Corporations A corporation is a standalone entity. There are two types of corporations‚ general or S Corp. Advantages of corporations consist of limited liability‚ capital through stock sales‚ attractive to employees‚ and receiving corporate tax treatment. S Corps‚ in addition to limited liability‚ have tax savings
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