com/Occasional_Papers/OP78/op78.html What is buyback? Buyback is reverse of issue of shares by a company where it offers to take back its shares owned by the investors at a specified price; this offer can be binding or optional to the investors. Why companies buyback? * Unused Cash: If they have huge cash reserves with not many new profitable projects to invest in and if the company thinks the market price of its share is undervalued. Eg. Bajaj Auto went on a massive buy back in 2000 and Reliance’s
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Per capita income as a measure of prosperity Per capita income is often used as average income‚ a measure of the wealth of the population of a nation‚ particularly in comparison to other nations. Per capita income is often used to measure a country’s standard of living. It is usually expressed in terms of a commonly used international currency such as the Euro or United States dollar‚ and is useful because it is widely known‚ easily calculated from readily-available GDP and population estimates
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------------------------------------------------- 01 DEMONSTRATE THE APPLICATION OF PROFESSIONAL ETHICS‚VALUES AN JUDGEMENT Question 1-Describe an occasion on which you had to demonstrate ethical behaviour When I was an attaché ‚I was given the tasks of handling a tender for heavy vehicle tyres. One of the prospective suppliers offered to take me out for dinner to discuss the tender. At first ‚ I thought it was a genuine call but after careful consideration‚ I realised that this was going
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A man in his search of the human‘s soul once wrote “Nature is not primarily functional. It is primarily beautiful. Which is to say‚ beauty is in and of itself a great and glorious good‚ something we need in large and daily doses. Nature at the height of its glory shouts‚ Beauty is essential” (Eldredge 34)! The authors of Walden and Thanatopsis regard beauty as a necessary part of nature and life. Walden‚ written by Henry David Thoreau‚ is a story of a man who finds out more about himself while living
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finance‚ Time series behaviour of earnings is crucial for empirical studies (Beaver 1970). Issues regarding Income smoothing‚ the relative forecast ability of alternative income measurements‚ and interim reporting‚ were discussed by Beaver (1970: pp. 62). These studies share mutual reliance upon a knowledge of the process creating accounting earnings‚ despite representing a comprehensive spectrum of predictive contexts (Beaver 1970). When taken as a group‚ the studies offer a variety of models‚ and
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2 MODELS FOR THE VALUATION OF SHARES. 2.1 The concept of a cost of equity The cost of equity is the cost to the company of providing equity holders with the return they require on their investment. The primary financial objective is to maximize the return to equity shareholders. This return is as the future dividend yield and capital growth. Until new shareholders become members of the company‚ the objective above is concerned with existing shareholders. Company management will need to offer
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Learn to Play the Earnings Game (and Wall Street Will Love You) The pressure to report smooth‚ ever higher earnings has never been fiercer. You don’t want to miss the consensus estimate by a penny--and you don’t have to. By Justin Fox In January‚ for the 41st time in the 42 quarters since it went public‚ Microsoft reported earnings that met or beat Wall Street estimates The 36 brokerage analysts who make the estimates were‚ as a group‚ quite happy about this - the 57 cents per share announced by the
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Glen Mount Furniture Companny Case Study 1 Glen Mount Question 1. GLEN MOUNT FURNITURE COMPANY Abbreviated Income Statement For the Year Ended December 31‚ 2000 Sales Less: Fixed Costs Less: Variable Costs (58% of sales) Operating Income (EBIT) $45‚500‚000 Less: Interest 12‚900‚000 Earnings before taxes (EBT) 26‚390‚000 Less taxes (34%) $ 6‚210‚000 Earnings after taxes (EAT) Shares 1‚275‚000 $ 4‚935‚000 Earnings per share 1‚677‚900 $ 3‚257‚100 2
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Earning management is good or not? Introdcution This essay is to examine whether earning management is it good or bad. Though there is so many debate about whether it should be accepted to be good rather than bad‚ however‚ this essay will explain the both side of earnings management. Earnings management reduces the quality of financial reporting‚ it can interfere with the resource allocation in the economy and can bring adverse consequences to the financial market. This essay analyses both‚ causes
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costs. They occur no matter how many hours the boiler is operated. Note 3: In the case of staff costs one could argue‚ that the staff may be assigned different tasks if the boiler is not operated at all or only intermediately. Consequently staff costs are not always entirely fixed. It depends on the case. However by staff we mean company employees that watch and monitor the boiler operation. Note 4: In the case of R+M costs one could as well argue that part of the repair and maintenance costs
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