Pfizer Inc and Sanofi S.A. Analysis 2012 5/14/2012 Introduction This report pertains to the analysis of the companies Pfizer Inc and Sanofi S.A. Pfizer Inc is a major player in the global pharmaceutical industry and is driven by the vision of improving the life and health of the consumers through innovative discoveries and solutions. The company is diversified geographically and the global healthcare portfolio comprises of human as well as animal biologic & vaccines and small molecule
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finance. NPV of an asset or investment is the present value of its cash flows less the cost of acquiring the asset. Smart investors will only acquire assets that have positive NPVs and will attempt to maximize the NPV of their investments. The rate of return received from an
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an annuity of $RM1 per period for t years (t-year annuity factor) is: Measures of Risk: Variance of returns = σ2 = expected value of Standard deviation of returns‚ σ = Covariance between returns of stocks 1 & 2 = σ1‚2 = expected value of Correlation between returns of stocks 1 & 2: Beta of stock i = βi = The variance of returns on a portfolio with proportion xi invested in stock i is: A Growing Perpetuity (Gordon model): If
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people don’t meet their ends so that they need to borrow from different sources and pay back in future. The rate of exchange between future consumption (future dollars) and current consumption (current dollars) is the pure rate of interest. It is the exchange rate between future consumption (future dollars) and present consumption (current dollars). Market forces determine this rate. The fact that people are willing to pay more for the money borrowed and lenders desire to receive a surplus
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[pic] |1. (TCO A) Which of the following statements is CORRECT? (Points : 10) | | | | [pic] One of the disadvantages of a sole proprietorship is that the proprietor is exposed to unlimited liability. | | [pic] It is generally easier to transfer one’s ownership
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------------------------------------------------- Introduction Founded in 1927‚ Marriott Corporation has become one of the leading food service companies in the United States. As of 1987‚ Marriott recorded a profit of $233 million on sales of $6.5 billion and retained a high sales growth rate of 24%. Marriott runs on three major lines of business lodging‚ contract services‚ and restaurants. Lodging division which includes 361 hotels generated 41% of 1987 sales and 51% profits. Contract services division which provides food and services
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Question No.1: One point of concern for you is that there is a trade of between higher interest rates in Thailand and delayed conversion of baht in to dollars‚ explain what does that mean? Answer: The term trade off here refers to the concept explained by Miller in his theory trade off theory of capital. The crux of the theory is that you got two options and you have to select the best one out of that. Here the two available options are i) The revenues denominated in are converted
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the first year; $2.20 at the end of the second year; and $2.40 at the end of the third year. Also‚ he believes that at the end of the third year he will be able to sell the stock for $33. What is the present value of all future benefits if a discount rate of 11 percent is applied? (Round all values to two places to the right of the decimal point.) Present value of a single amount PV = FV x PVIF or Appendix B Year 1: FV = 2.00; i = 0.11; n = 1; PV = 2.00 [0.901] = 1.80 Year 2: FV = 2.20; i = 0
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boss has restricted you to the following investment alternatives‚ shown with their probabilities and associated outcomes. (For now‚ disregard the items at the bottom of the data; you will fill in the blanks later.) Estimated Returns on Alternative Investments State of the Proba- High Collec- U.S. Market Two-Stock Economy bility T-Bills Tech tions Rubber Portfolio Portfolio Recession 0.1 8.0% –22.0% 28.0% 10.0% –13.0% Below Average
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COMPETING THEORIES OF BUSINESS: PROFITABILITY AND OTHER MOTIVES INTRODUCTION Competition has always been part of human nature‚ therefore business as well‚ as a human creation. The tendency to be better and more successful has been transferred to business in idea of making profit and being successful. This enabled economy‚ as a whole‚ to evolve and provide civilization with higher quality and lower prices. In addition‚ it resulted in technological improvement. Competition led to creating competing
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