Structure‚ Interest Rates and Credit Ratings Prepared by Ece SARAÇOĞLU BILGI‚ MSc in International Finance INF 503 - Financial Economics and Interest Rates December 2012 TABLE OF CONTENTS I. II. III. a) b) c) d) e) f) g) h) i) j) k) l) m) n) o) p) q) IV. V. Why Capital Structure Matters To Investments How Debt and Equity Financing Differ Choosing Between Debt and Equity Financing Process Ownership rights Rights over profit Ease of doing business Repayment Cost to company Future funding Choice of capital
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Moody’s Credit Ratings and the Subprime Mortgage Meltdown Table of Contents Introduction……………………………………………….3 Background………………………………………………..4-10 Analysis……………………………………………………10-12 Conclusion…………………………………………………12-13 References………………………………………………….14 In the early-2000s‚ Moody’s‚ one of the leading credit rating agencies in the world‚ evaluated thousands of bonds backed by so-called “subprime” residential mortgages—home loans made to those with both low incomes and poor credit scores
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1. Credit rating agencies present one of the key problems in reconfiguring the global financial architecture. Why? What are the options? What is the most likely solution? * The rating agencies present one of the key problems because they were behind the rating of the complex CDOs as well as taking an active part in creating these mortgage-related products which created conflict of interest. The ratings given to the CDO tranches did not effectively disclose the true credit quality of the underlying
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ACG 6315 1.For which of the following products would job order costing be least likely to be used? Textbook printing Newsprint paper Manufacturing Mortgage loan processing Residential building 2.Which of the following costs are treated as part of the cost of product? Wages of plant security guards Insurance on the plant building and equipment All of the above are product costs Depreciation on the kitchen sink in the plant cafeteria 3. If a cost is identical under each alternative
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“Credit Card Companies and Mandatory Arbitration” Mandatory arbitration clauses‚ which essentially strip consumers of their right to go to court‚ are becoming commonplace‚ with most consumers completely unaware of their existence or implications. The information is buried in the fine print or worse‚ simply tacked on to credit card agreements‚ which most customers don’t even bother to read. If you did read through your credit card terms and conditions‚ beyond the usual definitions of rates‚ late
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Factors affecting Training design An effective training programme should ensure optimum results from the efforts put in designing it. Thus‚ one should take into account the key issues before & during the training design that may hamper a training programme .Various factors that have the potential to affect the implementation of the training programme are as follows - * Overall Goals of Training * Define the fundamental goals of training. Identify the domain of learning to be targeted:
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F&H has a rigorous CAPEX approval process‚ and we are confident of returns of around 8% on investment. That is a far better return than F&H earns on its cash holdings. The CFO went on to explain that F&H invested excess cash in short‐term US government securities‚ which are almost entirely risk‐free but offered only a 4% rate of return. 2 a. Is a forecasted 8% return in the encabulator business necessarily better than a 4% safe return on short term US government securities? Why or why not? b. Is F&H’s opportunity cost of capital 4%
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FULFILLMENT OF POST GRADUATE DEGREE IN GLOBAL BUSINESS OPERATIONS CREDIT APPRAISAL AND RISK RATING IN PUNJAB NATIONAL BANK SUBMITTED BY: ADITYA SINGH PGDGBO (2012-20014) Roll No. : 17 INDUSTRY GUIDE FACULTY GUIDE Mr. RAJEEV SARDANA SENIOR MANAGER SENIOR FACULTY SHRI RAM COLLEGE OF COMMERCE‚ DELHI DELHI UNIVERSITY CREDIT SECTION‚ CIRCLE OFFICE: DELHI‚ 4th FLOOR‚ RAJENDRA BHAWAN‚ RAJENDRA
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Company Background Name Logo Industries served Geographic areas served Headquarters Current CEO Revenue Profit Employees Main Competitors Wal-Mart Stores‚ Inc. Retail (Discount department stores and warehouse stores) Worldwide (10‚942 stores in 27 countries) [1] Bentonville‚ Arkansas‚ U.S. C. Douglas McMillon $485.651 billion (2015) 2% increase over $476.294 $16.182 billion (2015) 1.7% increase over $15.918 billion (2014) . 2.2 million (2014) Costco Wholesale Corporation‚ Dollar General Corporation
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Better Credit Rating Will Draw Investors The Philippines has shrugged off decades of financial woes to earn its first investment-grade credit rating from one of the world’s leading ratings agencies. Fitch Ratings cites the Aquino administration’s improved money management‚ pro-growth policies and plans to increase revenues through a new "sin tax." Economists say it was only a matter of time before the Philippines would be given an investment-grade rating. They point to the stock market‚ which has
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