project planing
University of Phoenix Material
Definitions
Define the following terms using your text or other resources. Cite all resources consistent with APA guidelines.
Term
Definition
Resource you used
Time value of money
A dollar earned today is worth more than a dollar received a year from now. This is why we invest.
Keown, A.J., Martin, J.D., & Titman, S. (2013). Financial Management: Principles and Applications (12th ed.). Upper Saddle River, NJ: Prentice Hall.
Efficient market a market in which all the available information is fully incorporated into securities prices, and the returns investors will earn on their investments cannot be predicted. Investors respond to new information by buying and selling such that prices reflect what is known. The speed with which investors act and prices respond reflects the efficiency of the market
Keown, A.J., Martin, J.D., & Titman, S. (2013). Financial Management: Principles and Applications (12th ed.). Upper Saddle River, NJ: Prentice Hall.
Primary versus secondary market
Primary markets are markets in which securities are bought and sold for the first time. Secondary markets are markets is where trading of previously issied securities is done.
Keown, A.J., Martin, J.D., & Titman, S. (2013). Financial Management: Principles and Applications (12th ed.). Upper Saddle River, NJ: Prentice Hall.
Risk-return tradeoff
Expecting to receive higher returns for assuming for risks
Keown, A.J., Martin, J.D., & Titman, S. (2013). Financial Management: Principles and Applications (12th ed.). Upper Saddle River, NJ: Prentice Hall.
Agency (principal and agent problems)
The conflict of interest between the firm’s managers and its stockholders. The firm’s common stockholders, the owners of the firm, are the principals in the relationship, and the managers act as “agents” to these owners.
Keown, A.J., Martin, J.D., & Titman, S. (2013). Financial Management: Principles and Applications (12th ed.). Upper Saddle River,
Definitions
Define the following terms using your text or other resources. Cite all resources consistent with APA guidelines.
Term
Definition
Resource you used
Time value of money
A dollar earned today is worth more than a dollar received a year from now. This is why we invest.
Keown, A.J., Martin, J.D., & Titman, S. (2013). Financial Management: Principles and Applications (12th ed.). Upper Saddle River, NJ: Prentice Hall.
Efficient market a market in which all the available information is fully incorporated into securities prices, and the returns investors will earn on their investments cannot be predicted. Investors respond to new information by buying and selling such that prices reflect what is known. The speed with which investors act and prices respond reflects the efficiency of the market
Keown, A.J., Martin, J.D., & Titman, S. (2013). Financial Management: Principles and Applications (12th ed.). Upper Saddle River, NJ: Prentice Hall.
Primary versus secondary market
Primary markets are markets in which securities are bought and sold for the first time. Secondary markets are markets is where trading of previously issied securities is done.
Keown, A.J., Martin, J.D., & Titman, S. (2013). Financial Management: Principles and Applications (12th ed.). Upper Saddle River, NJ: Prentice Hall.
Risk-return tradeoff
Expecting to receive higher returns for assuming for risks
Keown, A.J., Martin, J.D., & Titman, S. (2013). Financial Management: Principles and Applications (12th ed.). Upper Saddle River, NJ: Prentice Hall.
Agency (principal and agent problems)
The conflict of interest between the firm’s managers and its stockholders. The firm’s common stockholders, the owners of the firm, are the principals in the relationship, and the managers act as “agents” to these owners.
Keown, A.J., Martin, J.D., & Titman, S. (2013). Financial Management: Principles and Applications (12th ed.). Upper Saddle River,