FIN 402 Week 3 Case Problems
Case Problem 6.1 Sara Decides to Take the Plunge
1. LG 1
2. LG 6
Sara Thomas is a child psychologist who has built a thriving practice in her hometown of Boise, Idaho. Over the past several years she has been able to accumulate a substantial sum of money. She has worked long and hard to be successful, but she never imagined anything like this. Even so, success has not spoiled Sara. Still single, she keeps to her old circle of friends. One of her closest friends is Terry Jenkins, who happens to be a stockbroker and who acts as Sara’s financial advisor.
Not long ago Sara attended a seminar on investing in the stock market, and since then she’s been doing some reading about the market. She has concluded that keeping all of her money in low-yielding savings accounts doesn’t make sense. As a result, Sara has decided to move part of her money to stocks. One evening, Sara told Terry about her decision and explained that she had found several stocks that she thought looked “sort of interesting.” She described them as follows:
· North Atlantic Swim Suit Company. This highly speculative stock pays no dividends. Although the earnings of NASS have been a bit erratic, Sara feels that its growth prospects have never been brighter—“what with more people than ever going to the beaches the way they are these days,” she says.
· Town and Country Computer. This is a long-established computer firm that pays a modest dividend yield (of about 1.50%). It is considered a quality growth stock. From one of the stock reports she read, Sara understands that T&C offers excellent long-term growth and capital gains potential.
· Southeastern Public Utility Company. This income stock pays a dividend yield of around 5%. Although it’s a solid company, it has limited growth prospects because of its location.
· International Gold Mines, Inc. This stock has performed quite well in the past, especially when inflation has become a problem. Sara feels that if it can do so well in inflationary times, it will do even better in a strong economy. Unfortunately, the stock has experienced wide price swings in the past. It pays almost no dividends.
Questions
a. What do you think of the idea of Sara keeping “substantial sums” of money in savings accounts? Would common stocks make better investments for her than savings accounts? Explain.
Answer: It is not a smart idea for Sara to retain substantial sums of money in her savings account for the reason that she could potentially make more money by investing in stocks. For example, the average rate for a savings account is 0.06%, and if you invest in stock, you can make anywhere from 0-15% depending on the amount of risk you is willing to take.
b. What is your opinion of the four stocks Sara has described? Do you think they are suitable for her investment needs? Explain.
Answer: Three out of the four stocks are ok investments to make since there is so little information provided. I do not think the NASS is a good i.
This paper is due TODAY AT 10.30 PM no later.Complete the follow.docxbrockdebroah
This paper is due TODAY AT 10.30 PM no later.
Complete
the following:
Case Problem 6.1 A-C (page 252)
Case Problem 6.2 A-C (page 252)
Case Problem 7.1 A-C (page 293)
Case Problem 7.2 A-C (page 294)
Case Problem 8.1 A-B (page 332)
Case Problem 8.2 A-B (page 333)
Case Problem 9.2 A-C (page 374)
Format
your submission consistent with APA guidelines.
Case problem 6.1 A-C
Case Problem
6.1
Sara Decides to Take the Plunge
1.
LG
1
2.
LG
6
Sara Thomas is a child psychologist who has built a thriving practice in her hometown of Boise, Idaho. Over the past several years she has been able to accumulate a substantial sum of money. She has worked long and hard to be successful, but she never imagined anything like this. Even so, success has not spoiled Sara. Still single, she keeps to her old circle of friends. One of her closest friends is Terry Jenkins, who happens to be a stockbroker and who acts as Sara’s financial advisor.
Not long ago Sara attended a seminar on investing in the stock market, and since then she’s been doing some reading about the market. She has concluded that keeping all of her money in low-yielding savings accounts doesn’t make sense. As a result, Sara has decided to move part of her money to stocks. One evening, Sara told Terry about her decision and explained that she had found several stocks that she thought looked “sort of interesting.” She described them as follows:
·
North Atlantic Swim Suit Company.
This highly speculative stock pays no dividends. Although the earnings of NASS have been a bit erratic, Sara feels that its growth prospects have never been brighter—“what with more people than ever going to the beaches the way they are these days,” she says.
·
Town and Country Computer.
This is a long-established computer firm that pays a modest dividend yield (of about 1.50%). It is considered a quality growth stock. From one of the stock reports she read, Sara understands that T&C offers excellent long-term growth and capital gains potential.
·
Southeastern Public Utility Company.
This income stock pays a dividend yield of around 5%. Although it’s a solid company, it has limited growth prospects because of its location.
·
International Gold Mines, Inc.
This stock has performed quite well in the past, especially when inflation has become a problem. Sara feels that if it can do so well in inflationary times, it will do even better in a strong economy. Unfortunately, the stock has experienced wide price swings in the past. It pays almost no dividends.
Questions
a.
What do you think of the idea of Sara keeping “substantial sums” of money in savings accounts? Would common stocks make better investments for her than savings accounts? Explain.
b.
What is your opinion of the four stocks Sara has described? Do you think they are suitable for her investment needs? Explain.
c.
What kind of common stock investment program would you recommend for Sara? What investment objectives do you think she should set for hers.
13 Investment FundamentalsYOU MUST BE KIDDING, RIGHTTwins T.docxaulasnilda
13 Investment Fundamentals
YOU MUST BE KIDDING, RIGHT?
Twins Tiffany and Taylor Jackson have worked for the same employer for many years. Tiffany started early to save and invest for retirement by putting $5000 away each year for 15 years starting at age 25 and never added any more money to the account. Taylor waited until age 40 to begin saving for retirement and he invested $5000 per year for 25 years until retirement at age 65. Assuming that they both earn a 6 percent annual return, how much more money will Tiffany have accumulated for retirement than Taylor by the time they reach age 65?
A. $ 98,919
B. $174,231
C. $274,323
D. $373,242
The answer is A, $98,919. Tiffany's account balance at age 65 is projected at $373,242 and Taylor's is $274,323. Even though Tiffany saved for only 15 years compared with Taylor's 25 years of saving, Tiffany's long-term investment approach had her starting to save early in her working career for retirement. Thus, she accumulated 36 percent more money than her brother ($373,242 – $274,323 = $98,919/$274,323).Starting early on long-term investment goals is a money-winning idea!
LEARNING OBJECTIVES
After reading this chapter, you should be able to:
Explain how to get started as an investor.
Identify your investment philosophy and invest accordingly.
Describe the major risk factors that affect the rate of return on investments.
Decide which of the four long-term investment strategies you will utilize.
Create your own investment plan.
Use Monte Carlo Advice when investing for retirement.
WHAT DO YOU RECOMMEND?
Shavenellyee and Sarena are sisters, both in their 20s. Shavenellyee drives a leased BMW convertible, and she makes about $42,000, including tips, as a part-time bartender at two different restaurants. Although she has no employee benefits, she enjoys having flexible work hours so that she can go to the beach and the local nightspots. Currently, Shavenellyee has $10,000 in credit card debt. She has $1500 in a bank savings account, and two years ago she opened an individual retirement account (IRA) with a $1000 investment in a mutual fund. Her sister Sarena drives a paid-for Honda CR-V, pays her credit card purchases in full each month, and sacrifices some of her salary by putting $100 per month into her employer's company stock through her 401(k) retirement account. Over the past seven years, the stock price, which was once about $40, has risen to almost $70, and Sarena's 401(k) plan is now worth about $16,000. Sarena also has invested about $14,000 in a Roth IRA mutual fund account that is currently invested in an aggressive growth mutual fund, and she plans to use that money for a down payment on a home purchase. She earns $58,000 as a manager of a restaurant, plus she receives an annual bonus ranging from $2000 to $4000 every January that she uses for a spring vacation in Mexico. Sarena's employer provides many employee benefits.
What do you recommend to Shavenellyee and Sarena on the subject of ...
13 Investment FundamentalsYOU MUST BE KIDDING, RIGHTTwins Tkendahudson
13 Investment Fundamentals
YOU MUST BE KIDDING, RIGHT?
Twins Tiffany and Taylor Jackson have worked for the same employer for many years. Tiffany started early to save and invest for retirement by putting $5000 away each year for 15 years starting at age 25 and never added any more money to the account. Taylor waited until age 40 to begin saving for retirement and he invested $5000 per year for 25 years until retirement at age 65. Assuming that they both earn a 6 percent annual return, how much more money will Tiffany have accumulated for retirement than Taylor by the time they reach age 65?
A. $ 98,919
B. $174,231
C. $274,323
D. $373,242
The answer is A, $98,919. Tiffany's account balance at age 65 is projected at $373,242 and Taylor's is $274,323. Even though Tiffany saved for only 15 years compared with Taylor's 25 years of saving, Tiffany's long-term investment approach had her starting to save early in her working career for retirement. Thus, she accumulated 36 percent more money than her brother ($373,242 – $274,323 = $98,919/$274,323).Starting early on long-term investment goals is a money-winning idea!
LEARNING OBJECTIVES
After reading this chapter, you should be able to:
Explain how to get started as an investor.
Identify your investment philosophy and invest accordingly.
Describe the major risk factors that affect the rate of return on investments.
Decide which of the four long-term investment strategies you will utilize.
Create your own investment plan.
Use Monte Carlo Advice when investing for retirement.
WHAT DO YOU RECOMMEND?
Shavenellyee and Sarena are sisters, both in their 20s. Shavenellyee drives a leased BMW convertible, and she makes about $42,000, including tips, as a part-time bartender at two different restaurants. Although she has no employee benefits, she enjoys having flexible work hours so that she can go to the beach and the local nightspots. Currently, Shavenellyee has $10,000 in credit card debt. She has $1500 in a bank savings account, and two years ago she opened an individual retirement account (IRA) with a $1000 investment in a mutual fund. Her sister Sarena drives a paid-for Honda CR-V, pays her credit card purchases in full each month, and sacrifices some of her salary by putting $100 per month into her employer's company stock through her 401(k) retirement account. Over the past seven years, the stock price, which was once about $40, has risen to almost $70, and Sarena's 401(k) plan is now worth about $16,000. Sarena also has invested about $14,000 in a Roth IRA mutual fund account that is currently invested in an aggressive growth mutual fund, and she plans to use that money for a down payment on a home purchase. She earns $58,000 as a manager of a restaurant, plus she receives an annual bonus ranging from $2000 to $4000 every January that she uses for a spring vacation in Mexico. Sarena's employer provides many employee benefits.
What do you recommend to Shavenellyee and Sarena on the subject of ...
for Lady Taylor PhDCase Problem 4.1 Coates’s DecisionLG 2LG .docxzollyjenkins
for Lady Taylor PhD
Case Problem 4.1 Coates’s Decision
LG 2
LG 4
On January 1, 2017, Dave Coates, a 23-year-old mathematics teacher at Xavier High School, received a tax refund of $1,100. Because Dave didn’t need this money for his current living expenses, he decided to make a long-term investment. After surveying a number of alternative investments costing no more than $1,100, Dave isolated two that seemed most suitable to his needs.
Each of the investments cost $1,050 and was expected to provide income over a 10-year period. Investment A provided a relatively certain stream of income. Dave was a little less certain of the income provided by investment B. From his search for suitable alternatives, Dave found that the appropriate discount rate for a relatively certain investment was 4%. Because he felt a bit uncomfortable with an investment like B, he estimated that such an investment would have to provide a return at least 4% higher than investment A. Although Dave planned to reinvest funds returned from the investments in other vehicles providing similar returns, he wished to keep the extra $50 ($1,100 − $1,050) invested for the full 10 yeas in a savings account paying 3% interest compounded annually.
As he makes his investment decision, Dave has asked for your help in answering the questions that follow the expected return data for these investments.
Questions
Assuming that investments A and B are equally risky and using the 4% discount rate, apply the present value technique to assess the acceptability of each investment and to determine the preferred investment. Explain your findings.
Recognizing that investment B is more risky than investment A, reassess the two alternatives, adding the 4% risk premium to the 4% discount rate for investment A and therefore applying a 8% discount rate to investment B. Compare your findings relative to acceptability and preference to those found for question
a
.
From your findings in questions
a
and
b
, indicate whether the IRR for investment A is above or below 4% and whether that for investment B is above or below 8%. Explain.
Use the present value technique to estimate the IRR on each investment. Compare your findings and contrast them with your response to question
c
.
From the information given, which, if either, of the two investments would you recommend that Dave make? Explain your answer.
Indicate to Dave how much money the extra $50 will have grown to by the end of 2026, assuming he makes no withdrawals from the savings account.
Case Problem 4.2 The Risk-Return Tradeoff: Molly O’Rourke’s Stock Purchase Decision
Over the past 10 years, Molly O’Rourke has slowly built a diversified portfolio of common stock. Currently her portfolio includes 20 different common stock issues and has a total market value of $82,500.
Molly is at present considering the addition of 50 shares of either of two common stock issues—X or Y. To assess the return and risk of each of these issues, she has gathered .
Angel investing 101: An Introduction to Angel Investing Aug 2019 SSElaine Werffeli
Angel investing can provide returns as part of a diversified portfolio. It involves investing in startups in exchange for ownership equity or convertible debt. Successful angel investors take the time to learn how to invest properly through activities like conducting thorough due diligence on potential investments and actively mentoring the companies they fund. While most startup investments fail, the overall returns can be strong due to a small percentage of companies achieving high valuations. Groups like SAC in Seattle provide training and deal flow opportunities to help angels invest strategically as part of a portfolio.
Practice Quiz. 1. The marginal investor is the representative .docxChantellPantoja184
Practice Quiz.
1. The marginal investor is the representative investor whose actions reflect the beliefs of those people who are currently trading a stock. It is the marginal investor who determines a stock's price. True or false?
a. True
b. False
2. Investors expect Bae Corporation to pay a dividend of D1 = $1.50 and to grow at a constant rate of 7% per year. The stock sells at a price of $25. What is Bae's expected dividend yield?
a. 4.0%
b. 5.0%
c. 6.0%
d. 7.0%
e. 8.0%
3. Shen Computer's stock sells for $30 per share, the expected dividend for the coming year is D1 = $1.20, and investors expect to realize a total return of 12%, which is also the required rate of return. What is Shen's expected constant growth rate?
a. 8.0%
b. 8.5%
c. 9.0%
d. 9.5%
e. 10.0%
4. Market equilibrium occurs when the stock's price is greater than its intrinsic value. If the stock market is reasonably efficient, gaps between the stock price and intrinsic value should be quite large and should persist for long periods of time. True or false?
a. True
b. False
5. If Shen's managers released information that caused investors to change their expectations to a growth rate of g = 5% from the originally expected 8% growth rate, what would the new stock price be? Assume that rs remains at 12% and D1 = $1.20.
a. $14.70
b. $15.47
c. $16.28
d. $17.14
e. $18.00
6. Unless a firm is liquidated or sold to another concern, the cash flows it provides to its stockholders will consist only of a stream of dividends. Therefore, the value of a share of stock must be established as the present value of the stock's expected dividend stream. True or false?
a. True
b. False
7. The term poison pill refers to a provision in a firm's charter that gives stockholders the right to buy shares of the firm at a greatly reduced price if hostile outsiders buy a specified percentage of the shares. Such provisions are designed to make it difficult for outsiders to oust a firm's current managers. Poison pills are often opposed by institutional investors because they may help incompetent managers retain control and thus prevent stockholders from obtaining as high a return on their investment as they could earn if the firm were acquired by another firm. True or false?
a. True
b. False
8. If a firm is planning to sell one of its divisions to another firm, it would be more logical to use the corporate valuation model than the discounted dividend model to help set the sale price. It would also be logical for the buying firm to use the corporate model to help determine how much it should pay for the division it was acquiring. True or false?
a. True
b. False
9. Silva Motors just paid a dividend of $2, i.e., D0 = $2.00. The dividend is expected to grow by 100% during Year 1, by 50% during Year 2, and then at a constant rate of 5% thereafter. If Silva's required rate of return is rs = 12%, what is the value of the stock today?
a. .
For more course tutorials visit
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FIN 402 Investment Fundamentals and Portfolio Management Final Exam Guide
True/False
1.___ ___ The balance sheet shows what assets the firm controls at a point in time and how it financed the assets.
FIN 402 Perfect Education/newtonhelp.combellflower161
For more course tutorials visit
www.newtonhelp.com
FIN 402 Investment Fundamentals and Portfolio Management Final Exam Guide
True/False
1.___ ___ The balance sheet shows what assets the firm controls at a point in time and how it financed the assets.
This paper is due TODAY AT 10.30 PM no later.Complete the follow.docxbrockdebroah
This paper is due TODAY AT 10.30 PM no later.
Complete
the following:
Case Problem 6.1 A-C (page 252)
Case Problem 6.2 A-C (page 252)
Case Problem 7.1 A-C (page 293)
Case Problem 7.2 A-C (page 294)
Case Problem 8.1 A-B (page 332)
Case Problem 8.2 A-B (page 333)
Case Problem 9.2 A-C (page 374)
Format
your submission consistent with APA guidelines.
Case problem 6.1 A-C
Case Problem
6.1
Sara Decides to Take the Plunge
1.
LG
1
2.
LG
6
Sara Thomas is a child psychologist who has built a thriving practice in her hometown of Boise, Idaho. Over the past several years she has been able to accumulate a substantial sum of money. She has worked long and hard to be successful, but she never imagined anything like this. Even so, success has not spoiled Sara. Still single, she keeps to her old circle of friends. One of her closest friends is Terry Jenkins, who happens to be a stockbroker and who acts as Sara’s financial advisor.
Not long ago Sara attended a seminar on investing in the stock market, and since then she’s been doing some reading about the market. She has concluded that keeping all of her money in low-yielding savings accounts doesn’t make sense. As a result, Sara has decided to move part of her money to stocks. One evening, Sara told Terry about her decision and explained that she had found several stocks that she thought looked “sort of interesting.” She described them as follows:
·
North Atlantic Swim Suit Company.
This highly speculative stock pays no dividends. Although the earnings of NASS have been a bit erratic, Sara feels that its growth prospects have never been brighter—“what with more people than ever going to the beaches the way they are these days,” she says.
·
Town and Country Computer.
This is a long-established computer firm that pays a modest dividend yield (of about 1.50%). It is considered a quality growth stock. From one of the stock reports she read, Sara understands that T&C offers excellent long-term growth and capital gains potential.
·
Southeastern Public Utility Company.
This income stock pays a dividend yield of around 5%. Although it’s a solid company, it has limited growth prospects because of its location.
·
International Gold Mines, Inc.
This stock has performed quite well in the past, especially when inflation has become a problem. Sara feels that if it can do so well in inflationary times, it will do even better in a strong economy. Unfortunately, the stock has experienced wide price swings in the past. It pays almost no dividends.
Questions
a.
What do you think of the idea of Sara keeping “substantial sums” of money in savings accounts? Would common stocks make better investments for her than savings accounts? Explain.
b.
What is your opinion of the four stocks Sara has described? Do you think they are suitable for her investment needs? Explain.
c.
What kind of common stock investment program would you recommend for Sara? What investment objectives do you think she should set for hers.
13 Investment FundamentalsYOU MUST BE KIDDING, RIGHTTwins T.docxaulasnilda
13 Investment Fundamentals
YOU MUST BE KIDDING, RIGHT?
Twins Tiffany and Taylor Jackson have worked for the same employer for many years. Tiffany started early to save and invest for retirement by putting $5000 away each year for 15 years starting at age 25 and never added any more money to the account. Taylor waited until age 40 to begin saving for retirement and he invested $5000 per year for 25 years until retirement at age 65. Assuming that they both earn a 6 percent annual return, how much more money will Tiffany have accumulated for retirement than Taylor by the time they reach age 65?
A. $ 98,919
B. $174,231
C. $274,323
D. $373,242
The answer is A, $98,919. Tiffany's account balance at age 65 is projected at $373,242 and Taylor's is $274,323. Even though Tiffany saved for only 15 years compared with Taylor's 25 years of saving, Tiffany's long-term investment approach had her starting to save early in her working career for retirement. Thus, she accumulated 36 percent more money than her brother ($373,242 – $274,323 = $98,919/$274,323).Starting early on long-term investment goals is a money-winning idea!
LEARNING OBJECTIVES
After reading this chapter, you should be able to:
Explain how to get started as an investor.
Identify your investment philosophy and invest accordingly.
Describe the major risk factors that affect the rate of return on investments.
Decide which of the four long-term investment strategies you will utilize.
Create your own investment plan.
Use Monte Carlo Advice when investing for retirement.
WHAT DO YOU RECOMMEND?
Shavenellyee and Sarena are sisters, both in their 20s. Shavenellyee drives a leased BMW convertible, and she makes about $42,000, including tips, as a part-time bartender at two different restaurants. Although she has no employee benefits, she enjoys having flexible work hours so that she can go to the beach and the local nightspots. Currently, Shavenellyee has $10,000 in credit card debt. She has $1500 in a bank savings account, and two years ago she opened an individual retirement account (IRA) with a $1000 investment in a mutual fund. Her sister Sarena drives a paid-for Honda CR-V, pays her credit card purchases in full each month, and sacrifices some of her salary by putting $100 per month into her employer's company stock through her 401(k) retirement account. Over the past seven years, the stock price, which was once about $40, has risen to almost $70, and Sarena's 401(k) plan is now worth about $16,000. Sarena also has invested about $14,000 in a Roth IRA mutual fund account that is currently invested in an aggressive growth mutual fund, and she plans to use that money for a down payment on a home purchase. She earns $58,000 as a manager of a restaurant, plus she receives an annual bonus ranging from $2000 to $4000 every January that she uses for a spring vacation in Mexico. Sarena's employer provides many employee benefits.
What do you recommend to Shavenellyee and Sarena on the subject of ...
13 Investment FundamentalsYOU MUST BE KIDDING, RIGHTTwins Tkendahudson
13 Investment Fundamentals
YOU MUST BE KIDDING, RIGHT?
Twins Tiffany and Taylor Jackson have worked for the same employer for many years. Tiffany started early to save and invest for retirement by putting $5000 away each year for 15 years starting at age 25 and never added any more money to the account. Taylor waited until age 40 to begin saving for retirement and he invested $5000 per year for 25 years until retirement at age 65. Assuming that they both earn a 6 percent annual return, how much more money will Tiffany have accumulated for retirement than Taylor by the time they reach age 65?
A. $ 98,919
B. $174,231
C. $274,323
D. $373,242
The answer is A, $98,919. Tiffany's account balance at age 65 is projected at $373,242 and Taylor's is $274,323. Even though Tiffany saved for only 15 years compared with Taylor's 25 years of saving, Tiffany's long-term investment approach had her starting to save early in her working career for retirement. Thus, she accumulated 36 percent more money than her brother ($373,242 – $274,323 = $98,919/$274,323).Starting early on long-term investment goals is a money-winning idea!
LEARNING OBJECTIVES
After reading this chapter, you should be able to:
Explain how to get started as an investor.
Identify your investment philosophy and invest accordingly.
Describe the major risk factors that affect the rate of return on investments.
Decide which of the four long-term investment strategies you will utilize.
Create your own investment plan.
Use Monte Carlo Advice when investing for retirement.
WHAT DO YOU RECOMMEND?
Shavenellyee and Sarena are sisters, both in their 20s. Shavenellyee drives a leased BMW convertible, and she makes about $42,000, including tips, as a part-time bartender at two different restaurants. Although she has no employee benefits, she enjoys having flexible work hours so that she can go to the beach and the local nightspots. Currently, Shavenellyee has $10,000 in credit card debt. She has $1500 in a bank savings account, and two years ago she opened an individual retirement account (IRA) with a $1000 investment in a mutual fund. Her sister Sarena drives a paid-for Honda CR-V, pays her credit card purchases in full each month, and sacrifices some of her salary by putting $100 per month into her employer's company stock through her 401(k) retirement account. Over the past seven years, the stock price, which was once about $40, has risen to almost $70, and Sarena's 401(k) plan is now worth about $16,000. Sarena also has invested about $14,000 in a Roth IRA mutual fund account that is currently invested in an aggressive growth mutual fund, and she plans to use that money for a down payment on a home purchase. She earns $58,000 as a manager of a restaurant, plus she receives an annual bonus ranging from $2000 to $4000 every January that she uses for a spring vacation in Mexico. Sarena's employer provides many employee benefits.
What do you recommend to Shavenellyee and Sarena on the subject of ...
for Lady Taylor PhDCase Problem 4.1 Coates’s DecisionLG 2LG .docxzollyjenkins
for Lady Taylor PhD
Case Problem 4.1 Coates’s Decision
LG 2
LG 4
On January 1, 2017, Dave Coates, a 23-year-old mathematics teacher at Xavier High School, received a tax refund of $1,100. Because Dave didn’t need this money for his current living expenses, he decided to make a long-term investment. After surveying a number of alternative investments costing no more than $1,100, Dave isolated two that seemed most suitable to his needs.
Each of the investments cost $1,050 and was expected to provide income over a 10-year period. Investment A provided a relatively certain stream of income. Dave was a little less certain of the income provided by investment B. From his search for suitable alternatives, Dave found that the appropriate discount rate for a relatively certain investment was 4%. Because he felt a bit uncomfortable with an investment like B, he estimated that such an investment would have to provide a return at least 4% higher than investment A. Although Dave planned to reinvest funds returned from the investments in other vehicles providing similar returns, he wished to keep the extra $50 ($1,100 − $1,050) invested for the full 10 yeas in a savings account paying 3% interest compounded annually.
As he makes his investment decision, Dave has asked for your help in answering the questions that follow the expected return data for these investments.
Questions
Assuming that investments A and B are equally risky and using the 4% discount rate, apply the present value technique to assess the acceptability of each investment and to determine the preferred investment. Explain your findings.
Recognizing that investment B is more risky than investment A, reassess the two alternatives, adding the 4% risk premium to the 4% discount rate for investment A and therefore applying a 8% discount rate to investment B. Compare your findings relative to acceptability and preference to those found for question
a
.
From your findings in questions
a
and
b
, indicate whether the IRR for investment A is above or below 4% and whether that for investment B is above or below 8%. Explain.
Use the present value technique to estimate the IRR on each investment. Compare your findings and contrast them with your response to question
c
.
From the information given, which, if either, of the two investments would you recommend that Dave make? Explain your answer.
Indicate to Dave how much money the extra $50 will have grown to by the end of 2026, assuming he makes no withdrawals from the savings account.
Case Problem 4.2 The Risk-Return Tradeoff: Molly O’Rourke’s Stock Purchase Decision
Over the past 10 years, Molly O’Rourke has slowly built a diversified portfolio of common stock. Currently her portfolio includes 20 different common stock issues and has a total market value of $82,500.
Molly is at present considering the addition of 50 shares of either of two common stock issues—X or Y. To assess the return and risk of each of these issues, she has gathered .
Angel investing 101: An Introduction to Angel Investing Aug 2019 SSElaine Werffeli
Angel investing can provide returns as part of a diversified portfolio. It involves investing in startups in exchange for ownership equity or convertible debt. Successful angel investors take the time to learn how to invest properly through activities like conducting thorough due diligence on potential investments and actively mentoring the companies they fund. While most startup investments fail, the overall returns can be strong due to a small percentage of companies achieving high valuations. Groups like SAC in Seattle provide training and deal flow opportunities to help angels invest strategically as part of a portfolio.
Practice Quiz. 1. The marginal investor is the representative .docxChantellPantoja184
Practice Quiz.
1. The marginal investor is the representative investor whose actions reflect the beliefs of those people who are currently trading a stock. It is the marginal investor who determines a stock's price. True or false?
a. True
b. False
2. Investors expect Bae Corporation to pay a dividend of D1 = $1.50 and to grow at a constant rate of 7% per year. The stock sells at a price of $25. What is Bae's expected dividend yield?
a. 4.0%
b. 5.0%
c. 6.0%
d. 7.0%
e. 8.0%
3. Shen Computer's stock sells for $30 per share, the expected dividend for the coming year is D1 = $1.20, and investors expect to realize a total return of 12%, which is also the required rate of return. What is Shen's expected constant growth rate?
a. 8.0%
b. 8.5%
c. 9.0%
d. 9.5%
e. 10.0%
4. Market equilibrium occurs when the stock's price is greater than its intrinsic value. If the stock market is reasonably efficient, gaps between the stock price and intrinsic value should be quite large and should persist for long periods of time. True or false?
a. True
b. False
5. If Shen's managers released information that caused investors to change their expectations to a growth rate of g = 5% from the originally expected 8% growth rate, what would the new stock price be? Assume that rs remains at 12% and D1 = $1.20.
a. $14.70
b. $15.47
c. $16.28
d. $17.14
e. $18.00
6. Unless a firm is liquidated or sold to another concern, the cash flows it provides to its stockholders will consist only of a stream of dividends. Therefore, the value of a share of stock must be established as the present value of the stock's expected dividend stream. True or false?
a. True
b. False
7. The term poison pill refers to a provision in a firm's charter that gives stockholders the right to buy shares of the firm at a greatly reduced price if hostile outsiders buy a specified percentage of the shares. Such provisions are designed to make it difficult for outsiders to oust a firm's current managers. Poison pills are often opposed by institutional investors because they may help incompetent managers retain control and thus prevent stockholders from obtaining as high a return on their investment as they could earn if the firm were acquired by another firm. True or false?
a. True
b. False
8. If a firm is planning to sell one of its divisions to another firm, it would be more logical to use the corporate valuation model than the discounted dividend model to help set the sale price. It would also be logical for the buying firm to use the corporate model to help determine how much it should pay for the division it was acquiring. True or false?
a. True
b. False
9. Silva Motors just paid a dividend of $2, i.e., D0 = $2.00. The dividend is expected to grow by 100% during Year 1, by 50% during Year 2, and then at a constant rate of 5% thereafter. If Silva's required rate of return is rs = 12%, what is the value of the stock today?
a. .
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FIN 402 Investment Fundamentals and Portfolio Management Final Exam Guide
True/False
1.___ ___ The balance sheet shows what assets the firm controls at a point in time and how it financed the assets.
FIN 402 Perfect Education/newtonhelp.combellflower161
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FIN 402 Investment Fundamentals and Portfolio Management Final Exam Guide
True/False
1.___ ___ The balance sheet shows what assets the firm controls at a point in time and how it financed the assets.
- The Aquamarine Fund returned 27.8% in 2012, outperforming the S&P index which returned 16%. Over its lifetime, each $1 invested in the fund is now worth over $4.
- The fund manager prefers to compare performance to the S&P index rather than other indices to avoid "index shopping".
- In 2012, the fund received $3.47 million in new subscriptions and $2.69 million in redemptions, resulting in $0.78 million in net new capital, down from $3.9 million in 2011.
- A basket of Japanese "net-net" stocks purchased in 2011 was substantially exited by the end of 2012, returning approximately
Chapter 07 Valuation & Characteristics Of StocksAlamgir Alwani
The document discusses common stock and its valuation. It covers topics such as how common stockholders own shares in a corporation but have limited control. The expected returns on common stock come from dividends and price appreciation if the shares are sold. Various models for valuing common stock are presented, including the constant growth model and two-stage growth model, which take into account expected dividend growth rates. Limitations of the models are noted given the uncertainty in predicting future cash flows from stocks.
This document discusses low-cost investing using exchange traded funds (ETFs) for retirement. It argues that mutual funds are a flawed model for most investors due to their high fees which eat into returns over time. ETFs provide a better, cheaper alternative for gaining exposure to stock and bond markets while minimizing taxes and costs. The document presents strategies using low-cost ETFs from Vanguard, iShares and other providers to build globally diversified portfolios and outlines the services provided by Confluence Investment Advisors to manage ETF portfolios.
Which of the following is considered a hybrid organizational form.docxphilipnelson29183
Which of the following is considered a hybrid organizational form?
limited liability partnership
corporation
sole proprietorship
partnership
Which of the following is a principal within the agency relationship?
the board of directors
the CEO of the firm
a shareholder
a company engineer
Teakap, Inc., has current assets of $ 1,456,312 and total assets of $4,812,369 for the year ending September 30, 2006. It also has current liabilities of $1,041,012, common equity of $1,500,000, and retained earnings of $1,468,347. How much long-term debt does the firm have?
Which of the following presents a summary of the changes in a firm’s balance sheet from the beginning of an accounting period to the end of that accounting period?
The statement of net worth.
The statement of retained earnings.
The statement of working capital.
The statement of cash flows.
Efficiency ratio: Gateway Corp. has an inventory turnover ratio of 5.6. What is the firm's days's sales in inventory?
61.7 days
57.9 days
65.2 days
64.3 days
IE
Leverage ratio: Your firm has an equity multiplier of 2.47. What is its debt-to-equity ratio?
0
1.74
0.60
1.47
Which of the following is not a method of “benchmarking”?
Evaluating a single firm’s performance over time.
Conduct an industry group analysis.
Identify a group of firms that compete with the company being analyzed.
Utilize the DuPont system to analyze a firm’s performance.
Present value: Jack Robbins is saving for a new car. He needs to have $ 21,000 for the car in three years. How much will he have to invest today in an account paying 8 percent annually to achieve his target? (Round to nearest dollar.)
$26,454
$16,670
$19,444
$22,680
IE
PV of multiple cash flows: Ferris, Inc., has borrowed from their bank at a rate of 8 percent and will repay the loan with interest over the next five years. Their scheduled payments, starting at the end of the year are as follows—$450,000, $560,000, $750,000, $875,000, and
$1,000,000. What is the present value of these payments? (Round to the nearest
dollar.)
$2,815,885
$2,735,200
$2,431,224
$2,615,432
PV of multiple cash flows: Ajax Corp. is expecting the following cash flows—
$79,000, $112,000, $164,000, $84,000, and $242,000—over the next five years.
If the company's opportunity cost is 15 percent, what is the present value of these
cash flows? (Round to the nearest dollar.)
$477,235
$429,560
$414,322
$480,906
IE
Future value of an annuity: Jayadev Athreya has started on his first job.
He plans to start saving for retirement early. He will invest $5,000 at the end
of each year for the next 45 years in a fund that will earn a return of 10 percent.
How much will Jayadev have at the end of 45 years? (Round to the nearest dollar.)
$2,667,904
$5,233,442
$1,745,600
$3,594,524
Serox stock was selling for $20 two years ago. The stock sold for
$25 one year ago, and it is currently selling for $28. Serox pays a $1.10 dividend
per.
This document provides an overview and introduction to private equity. It begins with an introduction of the speaker and his background in private equity investments. It then defines private equity and discusses the two broad classes of buyouts and venture capital. Next, it provides an overview of the private equity market and landscape. It discusses fund structure and organization. Finally, it discusses various career options in private equity and provides a high-level question and answer agenda.
Startup MBA 3.1 - Funding, equity, valuationsFounder-Centric
This document discusses different types of startup funding including revenue, debt, and equity. It focuses mainly on equity funding, explaining the typical stages of funding from sweat equity to a Series A round. It provides advice on valuation ranges, giving up equity to investors and employees, and practical considerations for fundraising like timelines, dilution calculations, and negotiating terms. The key points are that equity funding involves giving ownership stakes to investors in exchange for cash, fundraising is distracting, and founders should understand valuation impacts and protect themselves in legal agreements.
7 Doable Ways to Become a Billionaire
Invest in stocks and mutual funds. ...
Start your own business. ...
Purchase property in high-value areas and rent it out. ...
Create a product or service that is in high demand and has low competition. ...
Create opportunities. ...
Find a high-paying and stable job. ...
Maintain your wealth
Don't: Think You Know It All
The moment you think you have nothing left to learn is the moment you kill your potential for becoming a billionaire. Especially if you're interested in building your wealth through inventing or innovating, you have to be curious, open-minded, and always learning. Those qualities allow you to look at old things in a new way, to see the potential for change and profit where others see only what already had been done.
Don't: Make Flashy Investments
The latest and greatest investment opportunity may be fun to talk about, but one of the pitfalls of would-be billionaires is to jump in on the "next big thing," which doesn't always turn out to be so big. Investors who make billions from their investments avoid flashy, fun, and high-risk picks and instead choose those with long-term potential to provide great returns. Real estate, energy, steel, telecommunications, pharmaceuticals, and energy are among the picks, while high-tech and intriguing but risky options may go either way.
7
Don't: Quit Too Soon
Entrepreneurial types who succeed realize that success rarely comes overnight. One business idea might not pay off, but the next might. It's not easy to build something from scratch, especially when your something is a fortune of billions. Time is on your side if you don't rush it.
It isn't easy to become a billionaire especially if you haven't already made millions. You will need time, patience, investment savvy, and entrepreneurship to become a billionaire unless you are born into a family with billions that you stand to inherit.
The document provides the results of a personal IQ test, with the respondent scoring 27-30/30, indicating an "excellent" personal financial IQ. It then outlines 11 elements of personal finance, including discovering your comparative advantage, being entrepreneurial, budgeting, financing purchases appropriately, avoiding credit card debt, buying used goods, emergency savings, investing for compound interest, diversifying investments, investing in index funds, and being wary of high-risk investment schemes.
Global Financial Private Capital is an SEC registered investment adviser located in Sarasota, Florida. The document discusses the benefits of investing in dividend paying stocks, particularly those that increase their dividends over time. It shows that between 1972-2012, $100 invested in stocks that consistently paid dividends would have grown to $3,103, while stocks that did not pay dividends would have grown to only $193. Stocks that increased their dividends over time significantly outperformed other dividend paying stocks. The Federated Strategic Value fund seeks to invest in stocks that are expected to increase their dividends, providing an opportunity for investors to benefit from dividend growth.
Some smart tips to trade well | Learn InvestingUIVConsultants
This document provides an overview of stock investing and discusses various strategies for selecting stocks. It begins by introducing the "Peter Lynch approach" of identifying potential stock investments based on personal experiences with companies whose products or services are highly rated. It notes that a happy customer base should translate to good business and stock performance. The document goes on to discuss other factors to consider such as a company's financials, industry trends, and management quality when analyzing individual stocks for investment. It also compares the advantages and disadvantages of investing in individual stocks versus mutual funds.
Description Instructions Complete final exam.Ques.docxtheodorelove43763
Description / Instructions: Complete final exam.
Question 1
Which of the following is considered a hybrid organizational form?
sole proprietorship
partnership
corporation
limited liability partnership
Question 2
Which of the following is a principal within the agency relationship?
a company engineer
the CEO of the firm
a shareholder
the board of directors
Question 3
Teakap, Inc., has current assets of $ 1,456,312 and total assets of $4,812,369 for the year ending September 30, 2006. It also has current liabilities of $1,041,012, common equity of $1,500,000, and retained earnings of $1,468,347. How much long-term debt does the firm have?
$803,010
$2,303,010
$2,123,612
$1,844,022
Question 4
Which of the following presents a summary of the changes in a firm’s balance sheet from the beginning of an accounting period to the end of that accounting period?
The statement of cash flows.
The statement of net worth.
The statement of retained earnings.
The statement of working capital.
Question 5
Efficiency ratio: Gateway Corp. has an inventory turnover ratio of 5.6. What is the firm's days's sales in inventory?
61.7 days
57.9 days
65.2 days
64.3 days
Question 6
Leverage ratio: Your firm has an equity multiplier of 2.47. What is its debt-to-equity ratio?
0
0.60
1.47
1.74
Question 7
Which of the following is not a method of “benchmarking”?
Utilize the DuPont system to analyze a firm’s performance.
Conduct an industry group analysis.
Evaluating a single firm’s performance over time.
Identify a group of firms that compete with the company being analyzed.
Question 8
Present value: Jack Robbins is saving for a new car. He needs to have $ 21,000 for the car in three years. How much will he have to invest today in an account paying 8 percent annually to achieve his target? (Round to nearest dollar.)
$26,454
$19,444
$22,680
$16,670
Question 9
PV of multiple cash flows: Ferris, Inc., has borrowed from their bank at a rate of 8 percent and will repay the loan with interest over the next five years. Their scheduled payments, starting at the end of the year are as follows—$450,000, $560,000, $750,000, $875,000, and $1,000,000. What is the present value of these payments? (Round to the nearest dollar.)
$2,815,885
$2,615,432
$2,735,200
$2,431,224
Question 10
PV of multiple cash flows: Ajax Corp. is expecting the following cash flows—$79,000, $112,000, $164,000, $84,000, and $242,000—over the next five years. If the company's opportunity cost is 15 percent, what is the present value of these cash flows? (Round to the nearest dollar.)
$429,560
$414,322
$480,906
$477,235
Question 11
Future value of an annuity: Jayadev At.
Before starting on this assignment, make sure to carefully review .docxAASTHA76
Before starting on this assignment, make sure to carefully review the background readings. Part A requires you to make some computations, and Part B requires you to analyze some scenarios using your knowledge of the concepts. So make sure to go through the computational examples in the required readings and also thoroughly review the key concepts before starting on this assignment.
Case Assignment
Part A: Quantitative Problems
1. Suppose QuickCharge Corporation manufactures phone chargers. They sell their chargers for $20. Their fixed operating costs are $100,000 and their variable operating costs are $10 per charger. Currently they are selling 30,000 chargers per year.
A. What is QuickCharge’s EBIT (earnings before interest and taxes) at current sales of 30,000?
B. What is QuickCharge’s breakeven point?
C. Calculate the EBIT if QuickCharge’s sales increase 50% to 45,000 chargers. What is the percent of change in EBIT under this increase in sales? Also, calculate the EBIT if the company's sales decrease 50% to 15,000 chargers. What is the percent of change in EBIT under this decrease in sales?
D. What is QuickCharge’s degree of operating leverage? Based on your computation, what does its operating leverage say about QuickCharge’s business risk?
2. The StayDry Umbrella Corporation will have an EBIT of $100,000 if there is a normal amount of rain this year. But if there is a drought, they will have an EBIT of only $50,000. The interest rate on debt is 10%, and the tax rate is 35%. The company does not pay any preferred dividends.
A. If StayDry has zero debt and 50,000 outstanding shares, what will its EPS (earnings per share) be if there is normal rain? What will its EPS be if there is a drought? What is its DFL (degree of financial leverage)?
B. Now suppose StayDry has decided to take on $300,000 in debt and has used these funds to buy back half of the outstanding shares so now there are only 25,000 outstanding shares. What is the new EPS and DFL for both normal rain and drought?
C. Based on your answers to a) and b) above, what are the trade-offs management has to make between zero debt or $300,000 in debt? What are the benefits and disadvantages of taking on this debt?
Part B: Conceptual Questions
1. For each of the following scenarios, explain whether the situation describes financial risk or business risk. Explain your answers to each scenario using at least one of the references from the background readings:
A. A pharmaceutical company has developed a new cancer treatment drug that has a much higher success rate than other drugs currently in the market. It has the potential to triple the company’s profits. However, the FDA has expressed concern about some side effects, and it is not clear if the FDA will approve the drug.
B. An airline has an EBIT of $100 million per year. However, it also has a huge amount of debt and pays $97 million per year in interest. Its EBIT is relatively stable but tends to go up or down by $5 million or so each ...
This document provides an introduction to stock market basics, defining what stocks are as shares of ownership in a company. It explains the difference between debt and equity when companies raise capital and discusses the risks and rewards of investing in stocks, including how compounding returns can significantly increase wealth over time. Major stock market indices like the S&P 500 and Dow Jones Industrial Average are introduced, along with how stocks trade on exchanges. Factors that influence stock prices like supply and demand and earnings reports are also outlined.
Checkout Dividend Stocks Research for free Articles! Http://www.dividendstocksresearch.com/dividend-newsletter
Want to take advantage of the runup in small caps to find a great dividend stock? Here’s how.
$EPR, $JACK, $BWLD, $CBRL, $KKD, $MANH, $PRXL, $MMS, $WST, $CW, $TTC
Checkout Dividend Stocks Research for free Articles! Http://www.dividendstocksresearch.com/dividend-newsletter
Want to take advantage of the runup in small caps to find a great dividend stock? Here’s how.
$EPR, $JACK, $BWLD, $CBRL, $KKD, $MANH, $PRXL, $MMS, $WST, $CW, $TTC
Question 1 Which of the following is considered a hybrid org.docxIRESH3
Question 1
Which of the following is considered a hybrid organizational form?
corporation
sole proprietorship
limited liability partnership
partnership
Question 2
Which of the following is a principal within the agency relationship?
the CEO of the firm
a shareholder
the board of directors
a company engineer
Question 3
Teakap, Inc., has current assets of $ 1,456,312 and total assets of $4,812,369 for the year ending September 30, 2006. It also has current liabilities of $1,041,012, common equity of $1,500,000, and retained earnings of $1,468,347. How much long-term debt does the firm have?
$1,844,022
$2,303,010
$2,123,612
$803,010
Question 4
Which of the following presents a summary of the changes in a firm’s balance sheet from the beginning of an accounting period to the end of that accounting period?
The statement of working capital.
The statement of cash flows.
The statement of retained earnings.
The statement of net worth.
Question 5
Efficiency ratio: Gateway Corp. has an inventory turnover ratio of 5.6. What is the firm's days's sales in inventory?
57.9 days
64.3 days
65.2 days
61.7 days
Question 6
Leverage ratio: Your firm has an equity multiplier of 2.47. What is its debt-to-equity ratio?
1.47
0
1.74
0.60
Question 7
Which of the following is not a method of “benchmarking”?
Evaluating a single firm’s performance over time.
Identify a group of firms that compete with the company being analyzed.
Utilize the DuPont system to analyze a firm’s performance.
Conduct an industry group analysis.
Question 8
Present value: Jack Robbins is saving for a new car. He needs to have $ 21,000 for the car in three years. How much will he have to invest today in an account paying 8 percent annually to achieve his target? (Round to nearest dollar.)
$26,454
$16,670
$19,444
$22,680
estion 9
PV of multiple cash flows: Ferris, Inc., has borrowed from their bank at a rate of 8 percent and will repay the loan with interest over the next five years. Their scheduled payments, starting at the end of the year are as follows—$450,000, $560,000, $750,000, $875,000, and $1,000,000. What is the present value of these payments? (Round to the nearest dollar.)
$2,615,432
$2,815,885
$2,431,224
$2,735,200
Question 10
PV of multiple cash flows: Ajax Corp. is expecting the following cash flows—$79,000, $112,000, $164,000, $84,000, and $242,000—over the next five years. If the company's opportunity cost is 15 percent, what is the present value of these cash flows? (Round to the nearest dollar.)
$480,906
$414,322
$429,560
$477,235
Question 11
Future value of an annuity: Jayadev Athreya has started on his first job. He plans to start saving for retirement early. He will invest $5,000 at the end of each year for the next 45 years in a fund that will earn a return of 10 percent. How much will Jayadev have at the end of 45 years? (Round to the nearest dollar.)
$1,745,600
$5,233 ...
Your Retirement April May June 2008 NewsletterMartin Demarest
The document provides an overview of retirement planning topics including saving and investing approaches, mutual fund performance, and active vs. passive investing strategies. It discusses findings that most individual investors and mutual fund managers underperform market indexes, and that index funds have lower fees and expenses while often achieving equal or better returns than actively managed funds. The newsletter aims to give straightforward retirement planning advice and promote upcoming workshops on saving and investing for retirement.
This document discusses dollar-cost averaging as an investment strategy for long-term goals. It explains that dollar-cost averaging involves investing a fixed amount regularly, which allows an investor to purchase more shares when prices are low and fewer shares when prices are high. This helps lower the average cost per share over time. The document provides examples showing that an investor who used dollar-cost averaging over a fluctuating market period ended up with more shares at a lower average price than an investor who invested the same amount during a rising market.
FIN 336 Milestone Two Guidelines and Rubric Economic Envir.docxnealwaters20034
FIN 336 Milestone Two Guidelines and Rubric
Economic Environments and Risk Mitigation
Overview: This milestone will help you complete Sections II and III of the final project.
Prompt: Develop a report that analyzes one company’s approach to multinational expansion. Include financial factors such as economic environments and
market conditions, risk mitigation strategies, and ethical and legal practices.
Specifically, the following critical elements must be addressed:
II. Economic Environments and Market Conditions
C. Explain the role of international financial markets and institutions in global environments in evaluating their impact on the company’s risk
management strategies.
D. Analyze impacts of exchange rate on the company’s performance for determining if a loss occurred because of fluctuations or devaluations of
foreign currencies. Provide examples from the past year to support your claims.
III. Risk Mitigation: Examine sources of risk and risk reduction methods available to multinational corporations. Use the 2007–2008 annual report and the
most current annual report to support responses in this section.
B. Discuss risks and financial factors associated with exchange rates and interest rates for assessing how they inform the company’s financial
management approaches.
C. Discuss diversification in the company’s expansion model for examining advantages or disadvantages, and provide examples and financial
information from the past year to support claims.
D. Discuss company strategies before and after the 2007–2008 crisis for determining possible reasons for the company’s current financial
performance. Provide examples to support your claims.
Rubric
Guidelines for Submission: Your paper must be submitted as a 1- to 2-page Microsoft Word document with double spacing, 12-point Times New Roman font,
and one-inch margins. Cite appropriate academic references as necessary.
Critical Elements Proficient (100%) Needs Improvement (75%) Not Evident (0%) Value
Economic
Environments and
Market Conditions:
Financial Markets
and Institutions
Explains the role of international financial
markets and institutions in global
environments in evaluating their impact on
the company’s risk management strategies
Explains the role of international financial
markets and institutions in global
environments in evaluating their impact on
the company’s risk management strategies,
but explanation is cursory, illogical, or
missing key elements
Does not explain the role of international
financial markets and institutions in global
environments
18
Critical Elements Proficient (100%) Needs Improvement (75%) Not Evident (0%) Value
Economic
Environments and
Market Conditions:
Impacts of Exchange
Rate
Analyzes impacts of exchange rate on the
company’s performance for determining if a
loss occurred because of fluctuations or
devaluations of foreign currencies, and
provides examples from .
files may help with writing paperEvaluation Essay Topic Sho.docxnealwaters20034
files may help with writing paper
Evaluation Essay Topic: Should world leaders use a pandemic crisis brought about by a killer virus to boost their own popularity?
Write a 1.5-2-page Evaluation Argument Essay in response the assigned topic. (Note: Write essay in third person.
DO NOT USE
“I,” “me,” “my,” “we,” “our,” “you,” or “your”).
.
Film Review Select a contemporary English film of your choice that .docxnealwaters20034
Film Review: Select a contemporary English film of your choice that includes significant content about social issues. Review and analyze the film in an essay of 3-5 pages (double-spaced). The review will include a short summary of the content and mostly focus on sociological analysis. You should use very few outside sources (or none) and instead focus on your own analysis.
.
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- The Aquamarine Fund returned 27.8% in 2012, outperforming the S&P index which returned 16%. Over its lifetime, each $1 invested in the fund is now worth over $4.
- The fund manager prefers to compare performance to the S&P index rather than other indices to avoid "index shopping".
- In 2012, the fund received $3.47 million in new subscriptions and $2.69 million in redemptions, resulting in $0.78 million in net new capital, down from $3.9 million in 2011.
- A basket of Japanese "net-net" stocks purchased in 2011 was substantially exited by the end of 2012, returning approximately
Chapter 07 Valuation & Characteristics Of StocksAlamgir Alwani
The document discusses common stock and its valuation. It covers topics such as how common stockholders own shares in a corporation but have limited control. The expected returns on common stock come from dividends and price appreciation if the shares are sold. Various models for valuing common stock are presented, including the constant growth model and two-stage growth model, which take into account expected dividend growth rates. Limitations of the models are noted given the uncertainty in predicting future cash flows from stocks.
This document discusses low-cost investing using exchange traded funds (ETFs) for retirement. It argues that mutual funds are a flawed model for most investors due to their high fees which eat into returns over time. ETFs provide a better, cheaper alternative for gaining exposure to stock and bond markets while minimizing taxes and costs. The document presents strategies using low-cost ETFs from Vanguard, iShares and other providers to build globally diversified portfolios and outlines the services provided by Confluence Investment Advisors to manage ETF portfolios.
Which of the following is considered a hybrid organizational form.docxphilipnelson29183
Which of the following is considered a hybrid organizational form?
limited liability partnership
corporation
sole proprietorship
partnership
Which of the following is a principal within the agency relationship?
the board of directors
the CEO of the firm
a shareholder
a company engineer
Teakap, Inc., has current assets of $ 1,456,312 and total assets of $4,812,369 for the year ending September 30, 2006. It also has current liabilities of $1,041,012, common equity of $1,500,000, and retained earnings of $1,468,347. How much long-term debt does the firm have?
Which of the following presents a summary of the changes in a firm’s balance sheet from the beginning of an accounting period to the end of that accounting period?
The statement of net worth.
The statement of retained earnings.
The statement of working capital.
The statement of cash flows.
Efficiency ratio: Gateway Corp. has an inventory turnover ratio of 5.6. What is the firm's days's sales in inventory?
61.7 days
57.9 days
65.2 days
64.3 days
IE
Leverage ratio: Your firm has an equity multiplier of 2.47. What is its debt-to-equity ratio?
0
1.74
0.60
1.47
Which of the following is not a method of “benchmarking”?
Evaluating a single firm’s performance over time.
Conduct an industry group analysis.
Identify a group of firms that compete with the company being analyzed.
Utilize the DuPont system to analyze a firm’s performance.
Present value: Jack Robbins is saving for a new car. He needs to have $ 21,000 for the car in three years. How much will he have to invest today in an account paying 8 percent annually to achieve his target? (Round to nearest dollar.)
$26,454
$16,670
$19,444
$22,680
IE
PV of multiple cash flows: Ferris, Inc., has borrowed from their bank at a rate of 8 percent and will repay the loan with interest over the next five years. Their scheduled payments, starting at the end of the year are as follows—$450,000, $560,000, $750,000, $875,000, and
$1,000,000. What is the present value of these payments? (Round to the nearest
dollar.)
$2,815,885
$2,735,200
$2,431,224
$2,615,432
PV of multiple cash flows: Ajax Corp. is expecting the following cash flows—
$79,000, $112,000, $164,000, $84,000, and $242,000—over the next five years.
If the company's opportunity cost is 15 percent, what is the present value of these
cash flows? (Round to the nearest dollar.)
$477,235
$429,560
$414,322
$480,906
IE
Future value of an annuity: Jayadev Athreya has started on his first job.
He plans to start saving for retirement early. He will invest $5,000 at the end
of each year for the next 45 years in a fund that will earn a return of 10 percent.
How much will Jayadev have at the end of 45 years? (Round to the nearest dollar.)
$2,667,904
$5,233,442
$1,745,600
$3,594,524
Serox stock was selling for $20 two years ago. The stock sold for
$25 one year ago, and it is currently selling for $28. Serox pays a $1.10 dividend
per.
This document provides an overview and introduction to private equity. It begins with an introduction of the speaker and his background in private equity investments. It then defines private equity and discusses the two broad classes of buyouts and venture capital. Next, it provides an overview of the private equity market and landscape. It discusses fund structure and organization. Finally, it discusses various career options in private equity and provides a high-level question and answer agenda.
Startup MBA 3.1 - Funding, equity, valuationsFounder-Centric
This document discusses different types of startup funding including revenue, debt, and equity. It focuses mainly on equity funding, explaining the typical stages of funding from sweat equity to a Series A round. It provides advice on valuation ranges, giving up equity to investors and employees, and practical considerations for fundraising like timelines, dilution calculations, and negotiating terms. The key points are that equity funding involves giving ownership stakes to investors in exchange for cash, fundraising is distracting, and founders should understand valuation impacts and protect themselves in legal agreements.
7 Doable Ways to Become a Billionaire
Invest in stocks and mutual funds. ...
Start your own business. ...
Purchase property in high-value areas and rent it out. ...
Create a product or service that is in high demand and has low competition. ...
Create opportunities. ...
Find a high-paying and stable job. ...
Maintain your wealth
Don't: Think You Know It All
The moment you think you have nothing left to learn is the moment you kill your potential for becoming a billionaire. Especially if you're interested in building your wealth through inventing or innovating, you have to be curious, open-minded, and always learning. Those qualities allow you to look at old things in a new way, to see the potential for change and profit where others see only what already had been done.
Don't: Make Flashy Investments
The latest and greatest investment opportunity may be fun to talk about, but one of the pitfalls of would-be billionaires is to jump in on the "next big thing," which doesn't always turn out to be so big. Investors who make billions from their investments avoid flashy, fun, and high-risk picks and instead choose those with long-term potential to provide great returns. Real estate, energy, steel, telecommunications, pharmaceuticals, and energy are among the picks, while high-tech and intriguing but risky options may go either way.
7
Don't: Quit Too Soon
Entrepreneurial types who succeed realize that success rarely comes overnight. One business idea might not pay off, but the next might. It's not easy to build something from scratch, especially when your something is a fortune of billions. Time is on your side if you don't rush it.
It isn't easy to become a billionaire especially if you haven't already made millions. You will need time, patience, investment savvy, and entrepreneurship to become a billionaire unless you are born into a family with billions that you stand to inherit.
The document provides the results of a personal IQ test, with the respondent scoring 27-30/30, indicating an "excellent" personal financial IQ. It then outlines 11 elements of personal finance, including discovering your comparative advantage, being entrepreneurial, budgeting, financing purchases appropriately, avoiding credit card debt, buying used goods, emergency savings, investing for compound interest, diversifying investments, investing in index funds, and being wary of high-risk investment schemes.
Global Financial Private Capital is an SEC registered investment adviser located in Sarasota, Florida. The document discusses the benefits of investing in dividend paying stocks, particularly those that increase their dividends over time. It shows that between 1972-2012, $100 invested in stocks that consistently paid dividends would have grown to $3,103, while stocks that did not pay dividends would have grown to only $193. Stocks that increased their dividends over time significantly outperformed other dividend paying stocks. The Federated Strategic Value fund seeks to invest in stocks that are expected to increase their dividends, providing an opportunity for investors to benefit from dividend growth.
Some smart tips to trade well | Learn InvestingUIVConsultants
This document provides an overview of stock investing and discusses various strategies for selecting stocks. It begins by introducing the "Peter Lynch approach" of identifying potential stock investments based on personal experiences with companies whose products or services are highly rated. It notes that a happy customer base should translate to good business and stock performance. The document goes on to discuss other factors to consider such as a company's financials, industry trends, and management quality when analyzing individual stocks for investment. It also compares the advantages and disadvantages of investing in individual stocks versus mutual funds.
Description Instructions Complete final exam.Ques.docxtheodorelove43763
Description / Instructions: Complete final exam.
Question 1
Which of the following is considered a hybrid organizational form?
sole proprietorship
partnership
corporation
limited liability partnership
Question 2
Which of the following is a principal within the agency relationship?
a company engineer
the CEO of the firm
a shareholder
the board of directors
Question 3
Teakap, Inc., has current assets of $ 1,456,312 and total assets of $4,812,369 for the year ending September 30, 2006. It also has current liabilities of $1,041,012, common equity of $1,500,000, and retained earnings of $1,468,347. How much long-term debt does the firm have?
$803,010
$2,303,010
$2,123,612
$1,844,022
Question 4
Which of the following presents a summary of the changes in a firm’s balance sheet from the beginning of an accounting period to the end of that accounting period?
The statement of cash flows.
The statement of net worth.
The statement of retained earnings.
The statement of working capital.
Question 5
Efficiency ratio: Gateway Corp. has an inventory turnover ratio of 5.6. What is the firm's days's sales in inventory?
61.7 days
57.9 days
65.2 days
64.3 days
Question 6
Leverage ratio: Your firm has an equity multiplier of 2.47. What is its debt-to-equity ratio?
0
0.60
1.47
1.74
Question 7
Which of the following is not a method of “benchmarking”?
Utilize the DuPont system to analyze a firm’s performance.
Conduct an industry group analysis.
Evaluating a single firm’s performance over time.
Identify a group of firms that compete with the company being analyzed.
Question 8
Present value: Jack Robbins is saving for a new car. He needs to have $ 21,000 for the car in three years. How much will he have to invest today in an account paying 8 percent annually to achieve his target? (Round to nearest dollar.)
$26,454
$19,444
$22,680
$16,670
Question 9
PV of multiple cash flows: Ferris, Inc., has borrowed from their bank at a rate of 8 percent and will repay the loan with interest over the next five years. Their scheduled payments, starting at the end of the year are as follows—$450,000, $560,000, $750,000, $875,000, and $1,000,000. What is the present value of these payments? (Round to the nearest dollar.)
$2,815,885
$2,615,432
$2,735,200
$2,431,224
Question 10
PV of multiple cash flows: Ajax Corp. is expecting the following cash flows—$79,000, $112,000, $164,000, $84,000, and $242,000—over the next five years. If the company's opportunity cost is 15 percent, what is the present value of these cash flows? (Round to the nearest dollar.)
$429,560
$414,322
$480,906
$477,235
Question 11
Future value of an annuity: Jayadev At.
Before starting on this assignment, make sure to carefully review .docxAASTHA76
Before starting on this assignment, make sure to carefully review the background readings. Part A requires you to make some computations, and Part B requires you to analyze some scenarios using your knowledge of the concepts. So make sure to go through the computational examples in the required readings and also thoroughly review the key concepts before starting on this assignment.
Case Assignment
Part A: Quantitative Problems
1. Suppose QuickCharge Corporation manufactures phone chargers. They sell their chargers for $20. Their fixed operating costs are $100,000 and their variable operating costs are $10 per charger. Currently they are selling 30,000 chargers per year.
A. What is QuickCharge’s EBIT (earnings before interest and taxes) at current sales of 30,000?
B. What is QuickCharge’s breakeven point?
C. Calculate the EBIT if QuickCharge’s sales increase 50% to 45,000 chargers. What is the percent of change in EBIT under this increase in sales? Also, calculate the EBIT if the company's sales decrease 50% to 15,000 chargers. What is the percent of change in EBIT under this decrease in sales?
D. What is QuickCharge’s degree of operating leverage? Based on your computation, what does its operating leverage say about QuickCharge’s business risk?
2. The StayDry Umbrella Corporation will have an EBIT of $100,000 if there is a normal amount of rain this year. But if there is a drought, they will have an EBIT of only $50,000. The interest rate on debt is 10%, and the tax rate is 35%. The company does not pay any preferred dividends.
A. If StayDry has zero debt and 50,000 outstanding shares, what will its EPS (earnings per share) be if there is normal rain? What will its EPS be if there is a drought? What is its DFL (degree of financial leverage)?
B. Now suppose StayDry has decided to take on $300,000 in debt and has used these funds to buy back half of the outstanding shares so now there are only 25,000 outstanding shares. What is the new EPS and DFL for both normal rain and drought?
C. Based on your answers to a) and b) above, what are the trade-offs management has to make between zero debt or $300,000 in debt? What are the benefits and disadvantages of taking on this debt?
Part B: Conceptual Questions
1. For each of the following scenarios, explain whether the situation describes financial risk or business risk. Explain your answers to each scenario using at least one of the references from the background readings:
A. A pharmaceutical company has developed a new cancer treatment drug that has a much higher success rate than other drugs currently in the market. It has the potential to triple the company’s profits. However, the FDA has expressed concern about some side effects, and it is not clear if the FDA will approve the drug.
B. An airline has an EBIT of $100 million per year. However, it also has a huge amount of debt and pays $97 million per year in interest. Its EBIT is relatively stable but tends to go up or down by $5 million or so each ...
This document provides an introduction to stock market basics, defining what stocks are as shares of ownership in a company. It explains the difference between debt and equity when companies raise capital and discusses the risks and rewards of investing in stocks, including how compounding returns can significantly increase wealth over time. Major stock market indices like the S&P 500 and Dow Jones Industrial Average are introduced, along with how stocks trade on exchanges. Factors that influence stock prices like supply and demand and earnings reports are also outlined.
Checkout Dividend Stocks Research for free Articles! Http://www.dividendstocksresearch.com/dividend-newsletter
Want to take advantage of the runup in small caps to find a great dividend stock? Here’s how.
$EPR, $JACK, $BWLD, $CBRL, $KKD, $MANH, $PRXL, $MMS, $WST, $CW, $TTC
Checkout Dividend Stocks Research for free Articles! Http://www.dividendstocksresearch.com/dividend-newsletter
Want to take advantage of the runup in small caps to find a great dividend stock? Here’s how.
$EPR, $JACK, $BWLD, $CBRL, $KKD, $MANH, $PRXL, $MMS, $WST, $CW, $TTC
Question 1 Which of the following is considered a hybrid org.docxIRESH3
Question 1
Which of the following is considered a hybrid organizational form?
corporation
sole proprietorship
limited liability partnership
partnership
Question 2
Which of the following is a principal within the agency relationship?
the CEO of the firm
a shareholder
the board of directors
a company engineer
Question 3
Teakap, Inc., has current assets of $ 1,456,312 and total assets of $4,812,369 for the year ending September 30, 2006. It also has current liabilities of $1,041,012, common equity of $1,500,000, and retained earnings of $1,468,347. How much long-term debt does the firm have?
$1,844,022
$2,303,010
$2,123,612
$803,010
Question 4
Which of the following presents a summary of the changes in a firm’s balance sheet from the beginning of an accounting period to the end of that accounting period?
The statement of working capital.
The statement of cash flows.
The statement of retained earnings.
The statement of net worth.
Question 5
Efficiency ratio: Gateway Corp. has an inventory turnover ratio of 5.6. What is the firm's days's sales in inventory?
57.9 days
64.3 days
65.2 days
61.7 days
Question 6
Leverage ratio: Your firm has an equity multiplier of 2.47. What is its debt-to-equity ratio?
1.47
0
1.74
0.60
Question 7
Which of the following is not a method of “benchmarking”?
Evaluating a single firm’s performance over time.
Identify a group of firms that compete with the company being analyzed.
Utilize the DuPont system to analyze a firm’s performance.
Conduct an industry group analysis.
Question 8
Present value: Jack Robbins is saving for a new car. He needs to have $ 21,000 for the car in three years. How much will he have to invest today in an account paying 8 percent annually to achieve his target? (Round to nearest dollar.)
$26,454
$16,670
$19,444
$22,680
estion 9
PV of multiple cash flows: Ferris, Inc., has borrowed from their bank at a rate of 8 percent and will repay the loan with interest over the next five years. Their scheduled payments, starting at the end of the year are as follows—$450,000, $560,000, $750,000, $875,000, and $1,000,000. What is the present value of these payments? (Round to the nearest dollar.)
$2,615,432
$2,815,885
$2,431,224
$2,735,200
Question 10
PV of multiple cash flows: Ajax Corp. is expecting the following cash flows—$79,000, $112,000, $164,000, $84,000, and $242,000—over the next five years. If the company's opportunity cost is 15 percent, what is the present value of these cash flows? (Round to the nearest dollar.)
$480,906
$414,322
$429,560
$477,235
Question 11
Future value of an annuity: Jayadev Athreya has started on his first job. He plans to start saving for retirement early. He will invest $5,000 at the end of each year for the next 45 years in a fund that will earn a return of 10 percent. How much will Jayadev have at the end of 45 years? (Round to the nearest dollar.)
$1,745,600
$5,233 ...
Your Retirement April May June 2008 NewsletterMartin Demarest
The document provides an overview of retirement planning topics including saving and investing approaches, mutual fund performance, and active vs. passive investing strategies. It discusses findings that most individual investors and mutual fund managers underperform market indexes, and that index funds have lower fees and expenses while often achieving equal or better returns than actively managed funds. The newsletter aims to give straightforward retirement planning advice and promote upcoming workshops on saving and investing for retirement.
This document discusses dollar-cost averaging as an investment strategy for long-term goals. It explains that dollar-cost averaging involves investing a fixed amount regularly, which allows an investor to purchase more shares when prices are low and fewer shares when prices are high. This helps lower the average cost per share over time. The document provides examples showing that an investor who used dollar-cost averaging over a fluctuating market period ended up with more shares at a lower average price than an investor who invested the same amount during a rising market.
Similar to FIN 402 Week 3 Case ProblemsCase Problem 6.1 Sara Decides to Tak.docx (19)
FIN 336 Milestone Two Guidelines and Rubric Economic Envir.docxnealwaters20034
FIN 336 Milestone Two Guidelines and Rubric
Economic Environments and Risk Mitigation
Overview: This milestone will help you complete Sections II and III of the final project.
Prompt: Develop a report that analyzes one company’s approach to multinational expansion. Include financial factors such as economic environments and
market conditions, risk mitigation strategies, and ethical and legal practices.
Specifically, the following critical elements must be addressed:
II. Economic Environments and Market Conditions
C. Explain the role of international financial markets and institutions in global environments in evaluating their impact on the company’s risk
management strategies.
D. Analyze impacts of exchange rate on the company’s performance for determining if a loss occurred because of fluctuations or devaluations of
foreign currencies. Provide examples from the past year to support your claims.
III. Risk Mitigation: Examine sources of risk and risk reduction methods available to multinational corporations. Use the 2007–2008 annual report and the
most current annual report to support responses in this section.
B. Discuss risks and financial factors associated with exchange rates and interest rates for assessing how they inform the company’s financial
management approaches.
C. Discuss diversification in the company’s expansion model for examining advantages or disadvantages, and provide examples and financial
information from the past year to support claims.
D. Discuss company strategies before and after the 2007–2008 crisis for determining possible reasons for the company’s current financial
performance. Provide examples to support your claims.
Rubric
Guidelines for Submission: Your paper must be submitted as a 1- to 2-page Microsoft Word document with double spacing, 12-point Times New Roman font,
and one-inch margins. Cite appropriate academic references as necessary.
Critical Elements Proficient (100%) Needs Improvement (75%) Not Evident (0%) Value
Economic
Environments and
Market Conditions:
Financial Markets
and Institutions
Explains the role of international financial
markets and institutions in global
environments in evaluating their impact on
the company’s risk management strategies
Explains the role of international financial
markets and institutions in global
environments in evaluating their impact on
the company’s risk management strategies,
but explanation is cursory, illogical, or
missing key elements
Does not explain the role of international
financial markets and institutions in global
environments
18
Critical Elements Proficient (100%) Needs Improvement (75%) Not Evident (0%) Value
Economic
Environments and
Market Conditions:
Impacts of Exchange
Rate
Analyzes impacts of exchange rate on the
company’s performance for determining if a
loss occurred because of fluctuations or
devaluations of foreign currencies, and
provides examples from .
files may help with writing paperEvaluation Essay Topic Sho.docxnealwaters20034
files may help with writing paper
Evaluation Essay Topic: Should world leaders use a pandemic crisis brought about by a killer virus to boost their own popularity?
Write a 1.5-2-page Evaluation Argument Essay in response the assigned topic. (Note: Write essay in third person.
DO NOT USE
“I,” “me,” “my,” “we,” “our,” “you,” or “your”).
.
Film Review Select a contemporary English film of your choice that .docxnealwaters20034
Film Review: Select a contemporary English film of your choice that includes significant content about social issues. Review and analyze the film in an essay of 3-5 pages (double-spaced). The review will include a short summary of the content and mostly focus on sociological analysis. You should use very few outside sources (or none) and instead focus on your own analysis.
.
Fieldwork Research Primary SourcesThis assignment assumes 4.docxnealwaters20034
Fieldwork Research: Primary Sources
This assignment assumes 4 steps:
Attend a live music making opportunity, a concert, or watch an entire music concert on YouTube. It can be of any music genre (see instructions below).
Interview an insider of that culture
Write a
Fieldwork Concert Report
Transcribe and arrange the
interview
(in the same paper)
this the concert https://www.youtube.com/watch?v=lxjgqVsYu0g&feature=youtu.be ( kpop music is korean music )
first you have to make about concert report/ participant observation :
Students will attend minimum one live or online music performance. The preferred ethnographic writing is that of a participant observation – meaning, you take part in the music making next to the performers, so that you can live their experiences. Sometimes this is not possible, and you will have to experience music making from the fan’s perspective, or just that of the spectator’s perspective – in the case of Western classical concerts, or if you are viewing a concert on YouTube. Your goal is to capture the performance, event, and situation, and meaning of the event to the people involved (insider’s point of view). In order to do this, please describe as accurately as possible:
• The physical setting (stage, concert hall, audience) – you can draw a plan of the hall and/or take pictures, if allowed
• The behavior of individuals and groups of people – both the artists on the stage, as well as the audience
• Conversation and interactions between people • Sequence of events (before the concert, during the concert, after the concert)
• Demographic survey (count or approximate how many people are there; offer information about their gender, age, professional background, education level – if possible). In trying to assume the audience’s socio-economic status, you can look at their fashion style, cars, etc.
• Rationale of the event: for WHOM is the event held, WHERE was it held, WHEN did it happen, and WHY did it happen
• People’s emotions, meanings, and beliefs (if possible)
the second part is to make interview with 2 persons individually ( create 2 persons from your imagination introduce them and ask them these questions):
Upon gaining access in a live performance event or an online music-genre specific chatroom, students will follow the steps below to conduct one interview with a participant in the specific culture/performance:
1- what is your reaction of songs?
2- do you like it? and why do you like it?
3- why do people like these songs or concert?
4- Identify the most expert participant member that you can have access to interview (“key informant”): for some concerts, it would be hard or almost impossible to interview the performer. In such case, interview an audience member/participant/fan that has most knowledge of the culture/genre performed or strong ties to the particular music tradition.
5. Inform them of the purpose of your research, and gain acceptance for interviewing. If the su.
Field TripAssist the cooperating teacher for the age you are obs.docxnealwaters20034
Field Trip
Assist the cooperating teacher for the age you are observing in planning a field trip. The site you use may be as simple as a walk to a park or to the fire/police station. Other options include: zoo, museum, library, farm, etc.
Please type the answers to the following questions regarding the field trip:
1. Explain why this site was chosen. Be sure to state what subject or them is covered and provide the MDE CCRS that supports your reason for this rip and what is studied.
2. Describe/explain safety concerns about the chosen field trip site.
3. How does the field trip relate to what the children are currently learning?
4. List and explain your duties involved in planning this field trip (permission slip, contacting bus, etc.).
*Include a sample permission slip that would be given to the parents before the field trip and a brochure of the field trip site.
.
Field of study ( Interdisciplinary studies)Choose a piece of w.docxnealwaters20034
Field of study ( Interdisciplinary studies)
Choose a piece of writing for your field (journal article, news or magazine article, lab report, etc.).
Using either the insert comment feature on Word or Adobe, or handwriting and scanning/posting images, annotate the piece.
Annotations should highlight what you think is important, ask questions, make comments.
Your annotations should show an awareness of the argument of the piece, whether or not it is effective.
Part II: You will create an infographic (poster, brochure, webpage, etc.) that uses images and text to present on what writing in your field looks like.
.
Feminist & Empowerment TheoriesFeminist theory can be applie.docxnealwaters20034
Feminist & Empowerment Theories
Feminist theory can be applied with Peter and Fernando to promote self-determination and problem-solving skills for their current and future challenges. Feminist theory states that patriarchal culture is concerned with power and oppression over minority populations (Adams et al., 2013). Specific feminist techniques include: an analysis of oppression and power, exploring client self-esteem and interdependence, and empowering clients (Sommers-Flanagan & Sommers-Flanagan, 2014). Patriarchy is damaging to males in society (Sommers-Flanagan & Sommers-Flanagan, 2014) and teaches ‘manhood’ where the dominant heterosexual culture views homosexual men and women as ‘others’ (Adams et al., 2013). This can be seen with Fernando’s father who has disapproval of his son’s sexual identity. In addition, Peter has taken on the responsibility of head of household while Fernando has taken on the role of stay-at-home caretaker to Jose. Feminist theory brings together personal and political thinking to increase the client’s power (Turner, 2017).
When applying feminist theory within a relationship there is an emphasis on the concept of mutuality wherein there is a sense of respect, interest, empathy, and responsiveness experienced by both parties (Turner & Maschi, 2015). This fosters resilience through a two-way relational dynamic (Turner & Maschi, 2015). The use of this approach within the case of Peter and Fernando would help to foster resilience in the family dynamic through this emphasis on mutuality. By fostering empathy, respect, and responsiveness within the relationship dynamic will help Peter and Fernando improve communication through empathy and respect for each other’s perspective.
Empowerment is a concept that is strongly supported by evidence in social work practice (Turner, 2017). Empowerment theory and feminist theory both provide social workers with the expertise to validate client experiences, support client strengths, and promote collectivism through mutual aid and support (Turner, 2017). Three dimensions of empowerment theory include: (1) a development of a more positive identity and sense of self, (2) build knowledge and critical thinking to connect personal and political realities, and (3) build resources and strategies to achieve personal and collective goals (Turner, 2017). Empowerment theory assumes that the client(s) are the expert on the issue at hand and have within them the strengths to overcome the given problem (Turner & Maschi, 2015). It is then the job of the social worker to connect the client to resources within their community and assist them in utilizing those resources in keeping with their identified strengths (Turner & Maschi, 2015).
.
Feminist Family TherapyPresentation originally given by Allen.docxnealwaters20034
Feminist Family Therapy
Presentation originally given by Allen Mallory
1
In-Class Journal Feminism and Family Therapy
What do you typically think of when you hear the word “feminism?”
How do you define feminism?
Do you think feminism is a useful concept for marriage and family therapy?
Why or why not?
For those who do use ideas from feminism in therapy what might that look like?
Three (of many facets) of feminist theory importance of history, context, reflexive
2
The Who’s Who of Family Therapy
Jay Haley
Cloe Madanes
Strategic “ power and control as central to family patterns ….symptoms result from repetitive, unproductive attempts to control or influence other family members”
Madanes “ revers hierarchies are not bad in certain situations. They become problematic when there is incongruence in those hierarchies. Problems arise from dilemmas between love and violence
3
The Who’s Who of Family Therapy
Salvador Minuchin
Focus on changing interactional patterns and moving clients in the room, alliances, boundaries, and coalitions
Interesting that Minuchin worked with low income population were traditional gender roles likely look different, enactments
4
The Who’s Who of Family Therapy
Murray Bowen
Differentiation/fusion, genograms/family of origin, intergenerational patterns, family life stages,
5
The Who’s Who of Family Therapy
Ivan Boszormenyi-Nagy
Ethical considerations, fairness, trust, ledger of entitlement/indebtedness, invisible loyalties, integration of interpersonal and intra-psychic (the context), multidirectional pariality
6
The Who’s Who of Family Therapy
Carl Whitaker
Enter into the family system and use self to change patterns, co-therapy, atheoretical, battle for stucture, battle for initiative (fatherly figure), goal is to give the family new experience through craziness, creativity, humor, fantasy, treat children as children, and use of self.
7
The Who’s Who of Family Therapy
Virginia Satir
Nurturance, strength/growth focused, when one person has pain the whole family experiences, sculpting, holistic growth (different aspects of the self), use of self
8
Feminisms
Liberal
Radical
Marxist/Socialist
Eco
Postmodern
Women of Color
Postcolonial
Intersectionality
Liberal – equality through legal means and social reform (most commonly used in MFT)
Radical – oppression of women most fundamental form of oppression (what people are referring to when they say feminazi/haters
Marxist/Socialist- capitalism and patriarchy as root of women's oppression public and private sphere change
Eco – mainly focused on domination and oppression o.
Felicia makes fabulous fried foods that she sells to family and .docxnealwaters20034
Felicia makes fabulous fried foods that she sells to family and friends. Felicia’s friend, Fergus, is interested in selling her fried foods using the name “Felicia’s Fabulous Food Company.” Felicia is flattered but does not have enough time to fry any more foods; so Felicia charges Fergus $125,000 to allow Fergus to use her recipes and market the food using her name. On March 10, 2001, Fergus and Felicia enter into a written agreement that provides:
1. Felicia will market and advertise the fried foods.
2. All food is to be prepared with no deviation from Felicia’s recipes.
3. Fergus will manage sales and accounts receivables.
4. Felicia and Fergus will each pay 50 percent of the expenses of the business, such as electricity, water, telephone, heat, insurance and advertising.
5. Felicia will keep two-thirds of the gross receipts and Fergus one-third.
Ten years later, Fergus and Felicia had a number of disagreements and Fergus decides to leave the business. At the time, the business’s net worth was $857,000. Felicia argues that she owns the business and that Fergus, if not an employee, was no more than a franchisee. Fergus argues that he is Felicia’s partner. Were Felicia and Fergus partners? Explain and discuss the factors that lead to your conclusion.
.
Federalism Comparing Government Response in Hurricane Katrina vs..docxnealwaters20034
Federalism: Comparing Government Response in Hurricane Katrina vs. Coronavirus
Submissions must be a minimum of 2 pages, in length. This does not include your bibliography or works cited. This should be attached and added on as the last page of your essay. Y ou will only have one attempt to upload and submit your paper. Your bibliography or works cited page, and your paper, must be uploaded as a single file. They cannot be uploaded separately. No e-mailed assignments will be accepted.
Your response should be your own thoughts and analysis. Research and resources should be incorporated with scholarly application. I.e. used as examples or evidence to support your analysis. Citations may be formatted in APA, MLA or Chicago style, as long as they are consistent throughout. You must include in-text (parenthetical) citations, as well as a bibliography.If you have questions about citation formatting, please ask me, or utilize the tool easybib.com. You must provide in-text citations, to show ownership of any information that you include, in your essay, which is either
1. Not considered common knowledge
2. Paraphrased
3. Directly quoted
Failure to cite information, properly, will result in students receiving an automatic zero. Furthermore, to not do so is considered plagiarism.
Make sure to use complete sentences, and proper grammar. Your response to the prompt should focus on analyzing the information you gather and use to complete the constitutional chart through application. Incorporate the information you gathered by using it to provide examples and support for your response to the prompt.
Essay Topic and Objective:
You will be watching two 50 minute documentaries: The Storm and Coronavirus Pandemic in order to complete this essay.
1. The Storm: Hurricane Documentary (Links to an external site.)
2. Coronavirus Pandemic Documentary (Links to an external site.)
Federalism Overview: Considered together, Hurricane Katrina and Covid-19 both produced policy disasters in the United States that were both unnecessary and linked to federalism. These challenges produced by nature raise the question of whether certain disasters are beyond the capacities of state and local government.
Objective: While watching these films, the central theme to take away from these videos is a better and more comprehensive understanding of Federalism, through real life evidence and explanation. Critically analyze each of the elements and consequences of each different national disaster, based on different level of government’s responses, actions. Leadership, communication processes, and decision-making. Despite, both Hurricane Katrina and Corona Virus being deemed as “national emergencies”, the power organization resulted in vastly different responses by each level of government’s leadership (across all levels: federal, state and local).
Introduction to Federalism: State and Local governments are the first line responders to crisis. The institutions encompass not only the na.
Federalism Comparing Government Response in Hurricane Katrina v.docxnealwaters20034
Federalism: Comparing Government Response in Hurricane Katrina vs. Coronavirus
You will be watching two 50 minute documentaries: The Strom and Coronavirus Pandemic in order to complete this essay.
Topic Overview
: Considered together, Hurricane Katrina and Covid-19 both produced policy disasters in the United States that were both unnecessary and linked to federalism. These challenges produced by nature raise the question of whether certain disasters are beyond the capacities of state and local government.
Objective
: While watching these films, the central theme to take away from these videos is a better and more comprehensive understanding of Federalism, through real life evidence and explanation. Critically analyze each of the elements and consequences of each different national disaster, based on different level of government’s responses, actions. Leadership, communication processes, and decision-making. Despite, both Hurricane Katrina and Corona Virus being deemed as “national emergencies”, the power organization resulted in vastly different responses by each level of government’s leadership (across all levels: federal, state and local).
Introduction to Federalism:
State and Local governments are the first line responders to crisis. The institutions encompass not only the national government and the American states, each with their own distinctive histories, but extend down to the local level of counties, cities, smaller communities, and special-purpose entities such as school districts. Support and opposition for Federalism rests on government leadership, power, decision-making, and response to national disasters. Response is a geographic and constitutional matter of design. The principles underlying federalism create a power system where multiple levels of government (local, state, and federal) coexist in an organization of power that is both exclusive and shared, depending on the event at hand. Though the federal government has a vital role to play in advancing national priorities through the powers enumerated to it by the U.S. Constitution, our founders recognized long ago that many of the challenges our citizens face can best be addressed at the state level. The Constitution set forth means for strengthening national government’s power, intended to establish a more perfect union (Preamble). Federalism would be the new organization of power, between local, state and federal U.S. government, in order to the remedy weaknesses caused by the Articles of Confederation.
Principles of Federalism
Limited government
States’ rights (10th amendment)
Goals of Federalism:
Foster cooperation
Prevent Federal Intrusion into State
Protect State’s utility as “laboratories” of democracy
Central Themes to Focus on and Think About
comparisons and discussion of struggles between local,
state and federal levels of government according to how federalism has manifested into a power tug-of-war in authority
division of power
division .
Feedback for 4 Milestone Two Research and SupportPlease addre.docxnealwaters20034
Feedback for 4 Milestone Two: Research and Support
Please address Milestone two’s feedback and include these changes when working on your Milestone 3 assignment.
1)Proposal Care Support
The data you cite in this section supports that there is a nursing shortage. However, I would have liked to see you add more insight into what research shows on the impact this shortage has on patient safety and quality care. What does the research say about the nursing shortage and its connection with quality care, thus leading you to believe a change was necessary?
2) Value-Based Support
While you discussed financial impacts of your proposal, you did not touch on value based reimbursement. How does short staffing effect patient care and then ultimately reimbursement rates received by your institution?Top of Form
Bottom of Form
3) Data Evidence
You listed an example of a quality indicator that MAY be effected by the nrusing shortage. However, you need to include data that the nursing shortage itself is an issue. How many nurses is your facility short? What is the nurse to patient ratio? How many openings are there? etc.
4) Strategies
While you gave great examples of strategies that could be used to help improve the nursing shortage, are there any interprofessional strategies currently in use that would also be helpful?
5) Strategy Defense
So what nursing indicators will be affected with the implementation of your proposal? See http://ojin.nursingworld.org/MainMenuCategories/ANAMarketplace/ANAPeriodicals/OJIN/TableofContents/Volume122007/No3Sept07/NursingQualityIndicators.html for a list of the Nursing Sensitive Indicators Additionally, while you wrote your own professional insight, I would have liked to see you utilize research to add support to these views and ideas.
6) Articulation of Response
Submission has errors related to citations, grammar, spelling, or syntax
Running head: RESEARCH & SUPPORT 1
Research and support 2
Nursing Shortage and the Need for More Nurses
Research and Support
Proposal Care Support
Nurses are a very critical part of a health care facility. Nursing shortage is not just a problem experienced in the United States but globally. The shortage is as a result of high turnover, unavailability of potential educators and unfair distribution of the workforce. Healthcare organizations are therefore competing to acquire the scarce nurses in order to improve their delivery of quality care. According to the US Bureau of Labor Statistics, more than 1.1 million additional nurses are required to address the shortage problem (Haddad, 2019). For an organization to effectively compete for the scarce nurses, acquire top talent and reduce employee turnover, it must offer an enticing compensation and benefits package. Organizations that offer great wages and benefits easily attract applicant and maintain the nurses they already have. My proposal to offer a better compensation and benefits package would therefore lead to an i.
Federal Budget SpeechDo you want to know who you are Don.docxnealwaters20034
Federal Budget Speech
"
Do you want to know who you are? Don't ask. Act! Action will delineate and define you
." - Thomas Jefferson
The federal budget spends close to four trillion dollars a year and is split between mandatory spending (what the federal government has to spend due to congressional legislation) and discretionary spending (what the federal government spends as a result of congressional allotment). Roughly speaking, mandatory spending accounts for two-thirds of the federal budget and discretionary spending accounts for one-third of the federal budget.
Every year the executive and legislative branches debate budgetary priorities for the federal bureaucracies such as the Department of Defense, the Pentagon, the Environmental Protection Agency, Veteran Affairs, the Department of Education, and others. Many of these debates occur within congressional committee meetings as members of Congress, federal employees, outside interests, and individual citizens articulate funding requests.
For the Unit 9 Assignment you will compose a speech advocating why your chosen department, administration, or agency within the federal bureaucracy should receive additional funding.
Because the “world is a stage,” let us establish the setting, plot, and the ensuing action for your speech.
Setting:
Exterior: Washington D.C. State Capitol Building.
Interior: Room 221B. Congressional Hearing Room.
Plot:
Imagine that you are in a cavernous room. You sit before a large table facing twenty one senators from the Budget Committee. Photographers, more than you can imagine, squeeze between the space that separates you from the members of Congress. Behind you in the gallery, public policy wonks and regular citizens sit, awaiting your presentation.
You are a featured speaker from a citizen group that advocates a particular public policy funding concern for your federal department, administration, or agency. Prior to the meeting you have already read the president’s proposed federal budget for the upcoming year from the
Office of Management and Budget
and you have some budgetary concerns. You read in alarm how the upcoming federal budget request from the White House reduces funding for your federal department, administration, or agency. But, as you know, it is up to Congress to fund the executive bureaucracy. The executive branch requests funding and the legislative branch allocates funding. This is your chance to request more funding for your federal department, administration, or agency of choice.
Action:
Equally eager and nervous you stand in front of a lectern. “Now,” you think, “now I am ready…” You click on the microphone, examine your prepared speech about your funding request, and you begin to speak with eloquence and passion!
Directions
: Compose a 400 word transcript of your public policy speech.
Select a specific example of public policy from one of the following fields:
Economic policy – for example, U.S. budget deficit spending.
.
February is Black History Month. In great honor of this month, y.docxnealwaters20034
February is Black History Month. In great honor of this month, your project will be to make a PowerPoint or Microsoft Word document depicting a notable African American figure. Please follow the guidelines below. This is an independent project which means you cannot work with a partner. Period!
Choose an African American to research and have your person approved today.
Begin your research. Do not use Wikipedia. You may use books, encyclopedias, and the internet. Gather information that will thoroughly answer the following questions:
1. Name of person 2. Where he or she was born and when 3. 10 detailed facts about the person or persons (1-2 Sentences per fact.) 4. Fully discuss why he/she is a prominent figure in society (4-6 sentences) 5. Discuss why you believe this person made a significant contribution to African American history. (4-6 sentences) 6. Must include a picture
****This will count as project and class participation grade****
All of the topics MUST be addressed to receive full credit. Your responses can be written or typed preferably, but it must be neat! Your research must be in your OWN words, otherwise you will receive a 0 for plagiarizing. All projects will be ran through turnitin.com. It is a website that shows if someone plagiarized.
Your facts can be in paragraph or outline form.
Spelling, grammar, and neatness counts!
.
Feedback developed by Estee Beck, PhD
General strategies for peer response attribution to an unknown author
The Good, the Bad, and the Ugly of Peer Feedback
Research in writing studies show evidence that undergraduate student writers are not familiar
with providing adequate peer feedback, and instead rely upon mildly pleasant comments as a
way to not offend a fellow student. At the same time, getting feedback is a crucial step in
writing. Feedback provides insight from a detached reader, who may provide overall direction
for the works-in-progress. Learning how to give feedback requires practice, patience, good
reading skills, and sensitivity toward relations. But, students need training with how to give
good peer feedback.
How to give not-so-great feedback:
Here’s a sample paragraph from a friend who has asked for some feedback on the scope of the
paragraph. He’s concerned that the summary paragraph does not provide enough detail to
conclude a section of the paper.
for working within electronic computer
Although computers & writing and digital rhetoric employ different methodologies
benefits apply to classroom based writing practices along with research and
scholarship, the ultimate quest provides insight into a knowledge and information
exchange economy through and with digital technologies. As people make
-mediated spaces, both fields form around a
sense of searching for how people and machines interact with each other. While the
advancements with digital technologies, especially with movement in the multi-
million dollar Internet of Things industry, the relationship of not just human-to-
machine interaction, but also machine-to-machine interaction will become
important for rhetoricians to address. Again, understanding the function of rhetoric
in algorithmic processes is just one step in support of positioning a rhetorical code
studies as central to rhetorical scholarship.
Comment [BE1]: I have no idea what this means!
Comment [BE2]: Long
Comment [BE3]: Who cares?
Comment [BE4]: This is a horrible paragraph.
The comments in the margins show a few traits: An uncaring critique, ignorance, inadequate
explanation, and a final comment that’s not too pleasant to read. What’s missing from the four
comments?
Here’s the same paragraph, with some alterations:
Although computers & writing and digital rhetoric employ diferent methodologies
Comment [BE6]: Punctuation
Comment [BE5]: Spelling error
for working with electronic computer mediated spaces both fields form a sense of
searching for people and machines interact with each other. While the benefits
apply to classroom based writing practices along with research and scholarship, the
ultimate quest provides insight into a knowledge and information exchange
economy through and with digital technologies. As people mke advancements with Comment [BE7]: Spelling error
digital technologies, especially with mov.
FC305 Essay’s Guidelines March Start cohort Deadline Mond.docxnealwaters20034
FC305 Essay’s Guidelines March Start cohort
Deadline: Monday 15th of June 2020 by 09.00am
First Draft Deadline: Monday 11th of May 2020 by 09.00am
1000 words (+/- 10% – i.e. 900-1100)
Read all instructions very carefully
1. Your assignment needs to be submitted via VLE Turnitin App on the date given above. Submit both versions in their respective Turnitin portals.
2. You should observe the word count stated on the assignment brief. A 10% margin is allowed above or below the limit. You will lose marks if this is not followed.
3. Penalties apply for late submissions.
4. If you failed to submit on time due to an Exceptional Extenuating Circumstance (EEC), you should submit an EEC form within three days of the assessment deadline. These are available from Student Service and may, depending on your circumstances, affect your final mark.
Choose ONE of the UN Global Issues from the selection available on your VLE (and as instructed in a separate email) and discuss it critically.
Marking criteria
Total Mark for each criterion
Content and Understanding30%
· Relevance
· Appropriate detail
· Depth of knowledge (evidence of understanding of the topic)
· Evidence of research
Critical Thinking20%
· Understanding of the debates relating to the topic
· Evidence of original thought
· Analysis
· Construction of a coherent argument
Structure20%
· Logical and coherent structure
· Clear introduction and conclusion
· Overall presentation
Citation of authority and Bibliography20%
· Accurate referencing
· Variety of sources (at least 5 academic references)
· In text References
Overall style10%
· Overall style ranging from impressive to confusing, inaccurate, or poor
Academic Referencing
A good place to start is with academic sources, also called scholarly sources. These sources can include books, academic journal articles, and published expert reports. Whatever the exact form, academic sources all have in common the fact that they are peer-reviewed. Peer reviewed sources are written by an expert in the field and have passed review by other experts who judged the source for quality and accuracy. If a source is peer-reviewed, you know it is a good choice for high-quality, accurate information about your topic.
Not all sources show whether they are scholarly relevant or peer-reviewed, but there are some clues you should check.
· Look at the author's credentials. They should have an advanced degree and/or an affiliation with a scholarly organization like a university or a science foundation.
· Look as well for a list of references or a bibliography. Most high-quality research is based on other research, so a good source will have a list of works the author studied as he or she was writing it. Check this list to make sure.
· Finally, you can tell a lot about a source by looking at the publisher who publishes it. Scholarly sources should be published by a professional association like the American Medical Association; by a university, for example the Oxford Unive.
Faster Computing has contacted Go2Linux and requested a brief p.docxnealwaters20034
Faster Computing has contacted Go2Linux and requested a brief proposal presentation for migrating its systems from Windows to Linux. The company is specifically interested in seeing the following information:
Based on your current understanding of Faster Computing's business, what are some potential benefits of Linux?
The company is aware that many different Linux derivatives exist. Which would Go2Linux recommend, and why?
Are there graphical interfaces available for the Linux workstations that would provide similar functionality to Windows? Some users are concerned about working with a command-line interface.
What steps will be required to migrate the systems from Windows to Linux?
What tools are available on Linux for the servers to provide file sharing, web servers, and email servers?
The deliverable for this phase of the project is a three- to five-slide PowerPoint narrated presentation. For each slide, you will embed your own audio recording as if you were presenting the content to the Faster Computing team. Faster Computing has not yet committed to the project, so this should be presented as a proposal.
The presentation should be visually appealing; inclusion of at least one image that supports the content and adds value to the proposal is required. You must cite at least two quality sources.
.
Faster Computing was impressed with your presentation. The compa.docxnealwaters20034
Faster Computing was impressed with your presentation. The company is interested in moving forward with the project, but the senior management team has responded to the presentation with the following questions and concerns:
How will security be implemented in the Linux systems—both workstations and servers?
End users have expressed some concern about completing their day-to-day tasks on Linux. How would activities such as web browsing work? How would they work with their previous Microsoft Office files?
The current Windows administrators are unsure about administering Linux systems. How are common tasks, such as process monitoring and management, handled in Linux? How does logging work? Do we have event logs like we do in Windows?
Some folks in IT raised questions about the Linux flavor that was recommended. They would like to see comparisons between your recommendation and a couple of other popular options. What makes your recommendation the best option?
How does software installation work on Linux? Can we use existing Windows software?
How can Linux work together with the systems that will continue to run Windows? How will we share files between the different system types?
The deliverable for this phase of the project is a memo. There is no minimum or maximum page requirement, but all of the questions must be fully answered with sufficient detail. The recommended format is to respond to the questions in a bulleted format. Provide sufficient detail to fully address the questions. You must cite at least two quality sources.
Template
Go2Linux, Inc.
Provide a brief summary of your recommendation
of a specific version of Linux. Explain how your choice meets the business need of Faster
Computing, Inc.
The bold text questions below represent the specifics you need to focus on. For
each question, refer to your Implementation Proposal (Assignment #1) for consistency. In this
assignment you will provide technical details for Information Technology personnel.
Any example Linux commands should be properly displayed (e.g., in lower case)
and any acronyms explained on first use (e.g., Secure Shell (SSH)).
·
How will you implement security in the Linux systems?
o
Start by outlining how you plan to migrate the existing Windows
Servers to Linux. Ho
w will users authenticate? What technologies will be used? What
kind of access controls will be used?
o
Will you recommend simple authentication mechanisms or employ
multiple factors? For passwords, what policy(ies) will you recommend?
needed>
o
How will you handle data-at-rest and data-in-transit?
needed>
o
How will you enforce software installations and control which
applications may run on the network?
·
End users have expressed some concern about completing their day-to-day tasks on
Linux. How would activities such as email/web browsing work? How would they work
with their previous Microsoft Office files?
o
Th.
fatty acids must associate with lipid chaperones in order to move wi.docxnealwaters20034
Fatty acids require lipid chaperones to move within cells. These chaperones are called fatty acid-binding proteins, which have a hydrophobic binding pocket that enables them to transport fatty acids through the aqueous cellular environment.
ISO/IEC 27001, ISO/IEC 42001, and GDPR: Best Practices for Implementation and...PECB
Denis is a dynamic and results-driven Chief Information Officer (CIO) with a distinguished career spanning information systems analysis and technical project management. With a proven track record of spearheading the design and delivery of cutting-edge Information Management solutions, he has consistently elevated business operations, streamlined reporting functions, and maximized process efficiency.
Certified as an ISO/IEC 27001: Information Security Management Systems (ISMS) Lead Implementer, Data Protection Officer, and Cyber Risks Analyst, Denis brings a heightened focus on data security, privacy, and cyber resilience to every endeavor.
His expertise extends across a diverse spectrum of reporting, database, and web development applications, underpinned by an exceptional grasp of data storage and virtualization technologies. His proficiency in application testing, database administration, and data cleansing ensures seamless execution of complex projects.
What sets Denis apart is his comprehensive understanding of Business and Systems Analysis technologies, honed through involvement in all phases of the Software Development Lifecycle (SDLC). From meticulous requirements gathering to precise analysis, innovative design, rigorous development, thorough testing, and successful implementation, he has consistently delivered exceptional results.
Throughout his career, he has taken on multifaceted roles, from leading technical project management teams to owning solutions that drive operational excellence. His conscientious and proactive approach is unwavering, whether he is working independently or collaboratively within a team. His ability to connect with colleagues on a personal level underscores his commitment to fostering a harmonious and productive workplace environment.
Date: May 29, 2024
Tags: Information Security, ISO/IEC 27001, ISO/IEC 42001, Artificial Intelligence, GDPR
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How to Add Chatter in the odoo 17 ERP ModuleCeline George
In Odoo, the chatter is like a chat tool that helps you work together on records. You can leave notes and track things, making it easier to talk with your team and partners. Inside chatter, all communication history, activity, and changes will be displayed.
Thinking of getting a dog? Be aware that breeds like Pit Bulls, Rottweilers, and German Shepherds can be loyal and dangerous. Proper training and socialization are crucial to preventing aggressive behaviors. Ensure safety by understanding their needs and always supervising interactions. Stay safe, and enjoy your furry friends!
Introduction to AI for Nonprofits with Tapp NetworkTechSoup
Dive into the world of AI! Experts Jon Hill and Tareq Monaur will guide you through AI's role in enhancing nonprofit websites and basic marketing strategies, making it easy to understand and apply.
The simplified electron and muon model, Oscillating Spacetime: The Foundation...RitikBhardwaj56
Discover the Simplified Electron and Muon Model: A New Wave-Based Approach to Understanding Particles delves into a groundbreaking theory that presents electrons and muons as rotating soliton waves within oscillating spacetime. Geared towards students, researchers, and science buffs, this book breaks down complex ideas into simple explanations. It covers topics such as electron waves, temporal dynamics, and the implications of this model on particle physics. With clear illustrations and easy-to-follow explanations, readers will gain a new outlook on the universe's fundamental nature.
Physiology and chemistry of skin and pigmentation, hairs, scalp, lips and nail, Cleansing cream, Lotions, Face powders, Face packs, Lipsticks, Bath products, soaps and baby product,
Preparation and standardization of the following : Tonic, Bleaches, Dentifrices and Mouth washes & Tooth Pastes, Cosmetics for Nails.
it describes the bony anatomy including the femoral head , acetabulum, labrum . also discusses the capsule , ligaments . muscle that act on the hip joint and the range of motion are outlined. factors affecting hip joint stability and weight transmission through the joint are summarized.
Exploiting Artificial Intelligence for Empowering Researchers and Faculty, In...Dr. Vinod Kumar Kanvaria
Exploiting Artificial Intelligence for Empowering Researchers and Faculty,
International FDP on Fundamentals of Research in Social Sciences
at Integral University, Lucknow, 06.06.2024
By Dr. Vinod Kumar Kanvaria
FIN 402 Week 3 Case ProblemsCase Problem 6.1 Sara Decides to Tak.docx
1. FIN 402 Week 3 Case Problems
Case Problem 6.1 Sara Decides to Take the Plunge
1. LG 1
2. LG 6
Sara Thomas is a child psychologist who has built a thriving
practice in her hometown of Boise, Idaho. Over the past several
years she has been able to accumulate a substantial sum of
money. She has worked long and hard to be successful, but she
never imagined anything like this. Even so, success has not
spoiled Sara. Still single, she keeps to her old circle of friends.
One of her closest friends is Terry Jenkins, who happens to be a
stockbroker and who acts as Sara’s financial advisor.
Not long ago Sara attended a seminar on investing in the stock
market, and since then she’s been doing some reading about the
market. She has concluded that keeping all of her money in low-
yielding savings accounts doesn’t make sense. As a result, Sara
has decided to move part of her money to stocks. One evening,
Sara told Terry about her decision and explained that she had
found several stocks that she thought looked “sort of
interesting.” She described them as follows:
· North Atlantic Swim Suit Company. This highly speculative
stock pays no dividends. Although the earnings of NASS have
been a bit erratic, Sara feels that its growth prospects have
never been brighter—“what with more people than ever going to
the beaches the way they are these days,” she says.
· Town and Country Computer. This is a long-established
computer firm that pays a modest dividend yield (of about
1.50%). It is considered a quality growth stock. From one of the
stock reports she read, Sara understands that T&C offers
excellent long-term growth and capital gains potential.
· Southeastern Public Utility Company. This income stock pays
a dividend yield of around 5%. Although it’s a solid company, it
has limited growth prospects because of its location.
· International Gold Mines, Inc. This stock has performed quite
2. well in the past, especially when inflation has become a
problem. Sara feels that if it can do so well in inflationary
times, it will do even better in a strong economy. Unfortunately,
the stock has experienced wide price swings in the past. It pays
almost no dividends.
Questions
a. What do you think of the idea of Sara keeping “substantial
sums” of money in savings accounts? Would common stocks
make better investments for her than savings accounts? Explain.
Answer: It is not a smart idea for Sara to retain substantial sums
of money in her savings account for the reason that she could
potentially make more money by investing in stocks. For
example, the average rate for a savings account is 0.06%, and if
you invest in stock, you can make anywhere from 0-15%
depending on the amount of risk you is willing to take.
b. What is your opinion of the four stocks Sara has described?
Do you think they are suitable for her investment needs?
Explain.
Answer: Three out of the four stocks are ok investments to
make since there is so little information provided. I do not think
the NASS is a good investment because the stock pays no
dividends and their earnings have been erratic. If Sara wants to
make more money for her investments, she needs to find a
company that has better growth potential and dividend payouts.
c. What kind of common stock investment program would you
recommend for Sara? What investment objectives do you think
she should set for herself, and how can common stocks help her
achieve her goals?
Answer: The IPA program would be the program I would
recommend to Sara because it allows Sara to take classes and
speak with educated individuals who know about investing. I
think Sara should sit down with a financial advisor and figure
out exactly what she wants to do with her money and how much
she wants to make from her investments. Common stocks can
3. help her reach her goal faster because they offer a higher return
than a savings account.
Case Problem 6.2 Wally Wonders Whether There’s a Place for
Dividends
1. LG 5
Year
Expected EPS ($)
Expected Dividend Payout Ratio (%)
2016
$3.25
40%
2017
$3.40
40%
2018
$3.90
45%
2019
$4.40
45%
2020
$5.00
45%
2. LG 6
Wally Wilson is a commercial artist who makes a good living
by doing freelance work—mostly layouts and illustrations—for
local ad agencies and major institutional clients (such as large
department stores). Wally has been investing in the stock
market for some time, buying mostly high-quality growth stocks
as a way to achieve long-term growth and capital appreciation.
He feels that with the limited time he has to devote to his
security holdings, high-quality issues are his best bet. He has
become a bit perplexed lately with the market, disturbed that
some of his growth stocks aren’t doing even as well as many
good-grade income shares. He therefore decides to have a chat
4. with his broker, Al Fried.
During their conversation, it becomes clear that both Al and
Wally are thinking along the same lines. Al points out that
dividend yields on income shares are indeed way up and that,
because of the state of the economy, the outlook for growth
stocks is not particularly bright. He suggests that Wally
seriously consider putting some of his money into income
shares to capture the high dividend yields that are available.
After all, as Al says, “the bottom line is not so much where the
payoff comes from as how much it amounts to!” They then talk
about a high-yield public utility stock, Hydro-Electric Light and
Power. Al digs up some forecast information about Hydro-
Electric and presents it to Wally for his consideration:
The stock currently trades at $60 per share. Al thinks that
within five years it should be trading at $75 to $80 a share.
Wally realizes that to buy the Hydro-Electric stock, he will have
to sell his holdings of CapCo Industries—a highly regarded
growth stock that Wally is disenchanted with because of recent
substandard performance.
Questions
a. How would you describe Wally’s present investment
program? How do you think it fits him and his investment
objectives?
Answer: Wally has a good investment program right because
high-quality growth stocks are a good way to make money, but
he needs to change the type of stock he is invested in because it
is not meeting up to his expectations. His investments are for
long-term, which is what he is looking for.
b. Consider the Hydro-Electric stock.
1. Determine the amount of annual dividends Hydro-Electric
can be expected to pay over the years 2016 to 2020.
Answer:
Year
Expected EPS
Payout Ratio
6. 100
$136.00
2018
$1.76
100
$176.00
2019
$1.98
100
$198.00
2020
$2.25
100
$225.00
3. If Wally participates in the company’s dividend reinvestment
plan, how many shares of stock will he have by the end of
2020? What will they be worth if the stock trades at $80 on
December 31, 2020? Assume that the stock can be purchased
through the dividend reinvestment plan at a net price of $50 a
share in 2016, $55 in 2017, $60 in 2018, $65 in 2019, and $70
in 2020. Use fractional shares, to 2 decimals, in your
computations. Also, assume that, as in part b, Wally starts with
100 shares of stock and all dividend expectations are realized.
Answer:
Year
Beginning shares
Price
Shares Value
Dividends
Dividends Per Share
2016
100.00
$1.30
8. $9,208.17
c. Would Wally be going to a different investment strategy if he
decided to buy shares in Hydro-Electric? If the switch is made,
how would you describe his new investment program? What do
you think of this new approach? Is it likely to lead to more
trading on Wally’s behalf? If so, can you reconcile that with the
limited amount of time he has to devote to his portfolio?
Answer: Wally will not be changing him the investment strategy
if he wants to purchase stock in Hydro-Electric. He would be
altering the way he is investing. It is a common practice
amongst aggressive investors in a long term goal. If Wally
changed back to investing in his long-term shares and invests
the way he usually does it. I think this new approach is a good
idea and if things work out, I believe it would lead to more
trading for him.
Case Problem 7.1 Some Financial Ratios Are Real Eye-Openers
1. LG 5
2. LG 6
Cash
$ 1,250
Accounts receivable
$ 8,000
Current liabilities
$10,000
9. Inventory
$12,000
Long-term debt
$ 8,000
Current assets
$21,250
Stockholders’ equity
$12,000
Fixed and other assets
$ 8,750
Total liabilities and
Total assets
$30,000
stockholders’ equity
$30,000
South Plains Chemical Company Balance Sheet ($ thousands)
Sales
$50,000
Cost of goods sold
$25,000
Operating expenses
$15,000
Operating profit
$10,000
Interest expense
$ 2,500
Taxes
$ 2,500
Net profit
$ 5,000
Dividends paid to common stockholders ($ in thousands)
$ 1,250
Number of common shares outstanding
5 million
Recent market price of the common stock
10. $ 25
South Plains Chemical Company Income Statement ($
thousands)
Jack Arnold is a resident of Lubbock, Texas, where he is a
prosperous rancher and businessman. He has also built up a
sizable portfolio of common stock, which, he believes, is due to
the fact that he thoroughly evaluates each stock he invests in.
As Jack says, “You can’t be too careful about these things!
Anytime I plan to invest in a stock, you can bet I’m going to
learn as much as I can about the company.” Jack prefers to
compute his own ratios even though he could easily obtain
analytical reports from his broker at no cost. (In fact, Bob
Smith, his broker, has been volunteering such services for
years.)
Recently Jack has been keeping an eye on a small chemical
stock. The firm, South Plains Chemical Company, is big in the
fertilizer business—which is something Jack knows a lot about.
Not long ago, he received a copy of the firm’s latest financial
statements (summarized here) and decided to take a closer look
at the company.
Questions
a. Using the South Plains Chemical Company figures, compute
the following ratios.
Latest Industry Averages
Latest Industry Averages
Liquidity
Profitability
a. Net working capital
N/A
h. Net profit margin
8.5%
11. b. Current ratio
1.95
i. Return on assets
22.5%
Activity
j. ROE
32.2%
c. Receivables turnover
5.95
Common-Stock Ratios
d. Inventory turnover
4.50
k. Earnings per share
$2.00
e. Total asset turnover
2.65
l. Price-to-earnings ratio
20.0
Leverage
m. Dividends per share
$1.00
f. Debt-equity ratio
0.45
n. Dividend yield
2.5%
g. Times interest earned
6.75
o. Payout ratio
50.0%
p. Book value per share
$6.25
12. q. Price-to-book-value ratio
6.4
b. Compare the company ratios you prepared to the industry
figures given in part a. What are the company’s strengths? What
are its weaknesses?
Answer: We can see that the SPC Company has a net working
capital of $ 11,250,000. It indicates that the SPC Company has
$ 11.25 million of working capital available to pay its bill and
grow the business. This value is a good sign for SPC Company
because it is a higher amount than the industry average. We also
can see the current ratio for SPC Company is 2.125 that are
more than 0.175 when compare to the industry average, 1.95. It
indicates that SPC Company can pay its accounts creditor on
time and get the discounts for prompt payment and credibility
from future supplies. SPC Company may able to do essential
maintenance and replacement of fixed assets, it will result in
reducing operating expenses, such that selling expenses and
depreciation expenses. Also, the company has a liquid cash for
a new investment project, which may increase the future growth
rate of the company. This ratio is a good sign for the company.
The receivables turnover for SPC Company is 6.25, which is
more than 0.3 when you compare it to the industry average of
5.95. It means that the SPC Company is collecting its accounts
receivable more quickly than the industry average. The SPC
Company can have a valuable discipline on credit control that
will possibly result in a bad debt decrease, which is good for
SPC Company. The inventory turnover for the SPC Company is
4.167, which is less than 0.333 when you are comparing it to the
industry average of 4.5. It might be because the SPC Company
may have too many inventories in hand than the industry
average. It is expensive because inventories take up costly
warehouse space, some inventories may become spoiled or
obsolete and also a high risk of stock pilferage. The total asset
turnover for SPC Company is 1.67 that is less than 0.98 when
13. you compare it to the industry average of 2.65. It indicates that
the company is not able to get any more sales out of its assets
than the industry average. The company should reduce the
selling price to achieve higher sales volume since they are in a
very price competitive industry. When sales volume increase,
given no new investment in fixed assets, then the total asset
turnover will increase.
As for the compare profitability ratio, we can see that the net
profit margin, ROA, and ROE for SPC Company is 10%,
16.67%, 41.67% compared to the industry average of 8.5%,
22.5%, and 32.2% respectively. The results are mixed. When
compared to common stock ratios the dividends per share for
SPC Company is $ 0.25 that is less than $ 0.75 when compared
to the industry average of $ 1.00. Some dividends paid out to
the common stockholder is less than the average. Also, the
dividend yield for SPC Company is 1 % that is less than 1.5 %
when you compare it to the industry average of 2.5 %. It
indicates that the rate of current income earned on the
investments dollar is less than the average. Moreover, the
price-to-book-value for SPC Company is 10.40 that are higher
4.0 when compare to the industry average, 6.4. It indicates that
the stock for SPC Company is overpriced than average.
c. What is your overall assessment of South Plains Chemical?
Do you think Jack should continue with his evaluation of the
stock? Explain
Answer: No, the stock for SPC Company is overpriced. We can
see the fact from the price-to-book-value for SPC Company is
10.42 that are higher 4.0 when compare to the industry average,
6.4.
Case Problem 7.2 Doris Looks at an Auto Issue
Doris Wise is a young career woman. She lives in Phoenix,
Arizona, where she owns and operates a highly successful
modeling agency. Doris manages her modest but rapidly
growing investment portfolio, made up mostly of high-grade
common stocks. Because she’s young and single and has no
pressing family requirements, Doris has invested primarily in
14. stocks that offer the potential for attractive capital gains. Her
broker recently recommended an auto company stock and sent
her some literature and analytical reports to study. One report,
prepared by the brokerage house she deals with, provided an up-
to-date look at the economy, an extensive study of the auto
industry, and an equally extensive review of several auto
companies (including the one her broker recommended). She
feels strongly about the merits of security analysis and believes
it is important to spend time studying a stock before making an
investment decision.
Questions
a. Doris tries to stay informed about the economy on a regular
basis. At the present time, most economists agree that the
economy is getting stronger. What information about the
economy do you think Doris would find helpful in evaluating an
auto stock? Prepare a list—and be specific. Which three items
of economic information (from your list) do you feel are most
important? Explain.
Answer: The majority of economists would agree that a strong
economy would affect a company positively. Other factors that
Doris should take into consideration before she invests are the
following:
1- Jobs and Unemployment - You have to look at the current
unemployment rate. People have to be working to qualify for
loans to finance or purchase a car.
2- Interest Rates - The interest rate has to be low to entice the
consumer to borrow money to purchase a car. When rates are
high consumers are less likely to purchase or finance a car.
3- Inflation Rate – Once the price of items starts to go up,
many consumers may start to grow concerned about inflation.
Once people are concerned about inflation, it starts to affect
your investments negatively.
4- Taxes: A tax break can offer savings and incentives
through tax credits, deductions and exemptions to order to boost
spending.
15. 5- Labor Relations: Labor relations are important because
many automakers in the US have to deal with unions and union
influence. How they negotiate pay, medical benefits, and
retirement benefits has a big impact on how they do business
and how they keep their costs in line. But any change in cost
from paying higher wages and benefits usually gets passed on to
the consumer. Higher prices will mean lower sales.
The most important economic factors I feel is inflation and
unemployment. The reason they are the most important is
without a job nobody can buy a car and inflation lowers a
person buying power which makes them less likely to purchase
a car because they may feel the price is too high. It will all
impact the car sales.
b. In relation to a study of the auto industry, briefly note the
importance of each of the following.
1. Auto imports
Answer: Imported automobiles and those built by foreign
manufacturers in the U.S have had a tremendous impact on the
domestic industry. Imported automobile have a significant part
of the market, and this goes to domestic company end up losing
revenue.
2. The United Auto Workers union
Answer: Their unions are known to be aggressive when
negotiating for labor benefits.
3. Interest rates
Answer: The average price of a new car now is close to the
uppers $30,000, so it’s no surprise that consumers increasingly
finance their purchases with loans that last from 5 to 7 years.
When interest rates are lower people are willing to borrow more
money to purchase big items. When people are paying less
interest, it gives them more money to spend and when a
consumer has more money to spend that means good news for
companies that sell big ticket items like cars and homes.
4. The price of a gallon of gas
Answer: The price of a gallon of gas will reduce the number of
16. cars sales depending on what types of cars the company is
selling. Also if the gallon of gas is high, consumers are
spending more money to purchase gas than purchasing cars.
c. A variety of financial ratios and measures are provided about
one of the auto companies and its stock. These are incomplete,
however, so some additional information will have to be
computed. Specifically, we know the following:
Net profit margin
15%
Total assets
$25 billion
Earnings per share
$3.00
Total asset turnover
1.5
Net working capital
$3.4 billion
Payout ratio
40%
Current liabilities
$5 billion
Price-to-earnings ratio
12.5
Given this information, calculate the following:
1. Sales
Answer:
Total Assets Turnover * Total Assets =
1.5 * $25 Billion= $37.5 Billion
2. Net profits after taxes
Answer:
Net Profit Margin * Sales
15% X $ 37.5 = $5.625 billion
3. Current ratio
Answer:
Current assets = Net working cap + Current liabilities
17. $3.4 +$5 billion = $ 8.4 Billion
Current assets / Current liabilities = Current ratio
$ 8.4 billion÷ $5 billion= 1.68
4. Market price of the stock
Answer:
Price-to-earnings ratio*Earnings per share
12.5 X $3.00= $37.5 per share
5. Dividend yield
Answer:
(Earnings per share * Payout ratio) ÷ Market price of the stock
($3 X 40%) ÷$37.5= 0.032
0.032 X 100 =3.2%
Case Problem 8.1 Chris Looks for a Way to Invest His Wealth
1. LG 1
2. LG 2
3. LG 4
Chris Norton is a young Hollywood writer who is well on his
way to television superstardom. After writing several successful
television specials, he was recently named the head writer for
one of TV’s top-rated sitcoms. Chris fully realizes that his
business is a fickle one, and on the advice of his dad and
manager, he has decided to set up an investment program. Chris
will earn about a half-million dollars this year. Because of his
age, income level, and desire to get as big a bang as possible
from his investment dollars, he has decided to invest in
speculative, high-growth stocks.
Chris is currently working with a respected Beverly Hills broker
and is in the process of building up a diversified portfolio of
speculative stocks. The broker recently sent him information on
a hot new issue. She advised Chris to study the numbers and, if
he likes them, to buy as many as 1,000 shares of the stock.
Among other things, corporate sales for the next three years
have been forecasted as follows:
Year
Sales ($ millions)
18. 1
$22.5
2
$35.0
3
$50.0
The firm has 2.5 million shares of common stock outstanding.
They are currently being traded at $70 a share and pay no
dividends. The company has a net profit rate of 20%, and its
stock has been trading at a P/E of around 40 times earnings. All
these operating characteristics are expected to hold in the
future.
Questions
a. Looking first at the stock:
1. Compute the company’s net profits and EPS for each of the
next 3 years.
Answer:
Year 1
120/100) * 22.5 = $27 million
Therefore 27-22.5= $4.5 million
Profit= 4.5/70
= $64,285.71
Year 2
20% * 35.0 = $7
$7 million/70
Profit= $100,000
Year 3
20% of 50 = $ 10 million
10million/70
Profit = $142857.14285
2. Compute the price of the stock three years from now.
Answer:
Price of stocks= total profits for 3 years + total sales
= (4.5+7+10) + 107.5
= $129 million
3. Assuming that all expectations hold up and that Chris buys
19. the stock at $70, determine his expected return on this
investment.
Answer:
$ Stock= $ 70.00
Total sales = $107.5 million
Return = $107,500,000/70
=$535,714.29
Profit= 20% of $535,714.29
= $107,142.85
Total return= $535,714.29+$10,712.85
= $546,427.14
4. What risks is he facing by buying this stock? Be specific.
Answer: The earning per share is not stable, and therefore Chris
might run into high percentage loss. The 40% times earning
will, therefore, be tempered which will make the investment
drop.
5. Should he consider the stock a worthwhile investment
candidate? Explain.
Answer: Yes, The EPS from the previous years have constantly
been increasing, and therefore this shows a significant increase
and the net profit.
b. Looking at Chris’s investment program in general:
1. What do you think of his investment program? What do you
see as its strengths and weaknesses?
Answer: Constant change to EPS is the only weakness if not so,
therefore, this program is good.
2. Are there any suggestions you would make?
Answer: The suggestion I would make is to determine the
appropriate asset allocation. Chris needs to have a strategy
whereby the input should remain a hundred percent.
3. Do you think Chris should consider adding foreign stocks to
his portfolio? Explain.
Answer: I would say yes because I think it will amplify the
expansion of Chris’ investments and therefore increasing the
input per EPS.
Case Problem 8.2 An Analysis of a High-Flying Stock
20. 1. LG 2
2. LG 6
Marc Dodier is a recent university graduate and a security
analyst with the Kansas City brokerage firm of Lippman,
Brickbats, and Shaft. Marc has been following one of the hottest
issues on Wall Street, C&I Medical Supplies, a company that
has turned in an outstanding performance lately and, even more
important, has exhibited excellent growth potential. It has five
million shares outstanding and pays a nominal annual dividend
of $0.05 per share. Marc has decided to take a closer look at
C&I to assess its investment potential. Assume the company’s
sales for the past five years have been as follows:
Year
Sales ($ millions)
2012
$10.0
2013
$12.5
2014
$16.2
2015
$22.0
2016
$28.5
Marc is concerned with the future prospects of the company, not
its past. As a result, he pores over the numbers and generates
the following estimates of future performance:
Expected net profit margin
12%
Estimated annual dividends per share
5¢
Number of common shares outstanding
No change
P/E ratio at the end of 2017
35
P/E ratio at the end of 2018
21. 50
Questions
a. Determine the average annual rate of growth in sales over the
past five years. (Assume sales in 2011 amounted to $7.5
million.)
1. Use this average growth rate to forecast revenues for next
year (2017) and the year after that (2018).
Answer:
Year
Growth Rate
2012 to 2013
( 12.5 – 10.0 )/10.0 = 0.250
2013 to 2014
( 16.2 – 12.5 )/12.5 = 0.296
2014 to 2015
( 22.0 – 16.2 )/16.2 = 0.358
2015 to 2016
( 28.5 – 22.0 )/22.0 = 0.296
250 + .296 + .358 + .296 / 4 = .30
Average Annual Growth Rate = 30%
2. Now determine the company’s net earnings and EPS for each
of the next two years (2017 and 2018).
Answer:
Earnings in 2017
Sales x Profit margin
$37,000,000 x 0.12
= $4,440,000
Earnings in 2018
Sales x Profit margin
$48,100,000 x 0.12
22. = $5,772,000
EPS: 2017
$4,440,000 / 5,000,000 = $0.89
= $0.89
EPS: 2018
$5,772,000 / 5,000,000 = $1.15
= $1.15
3. Finally, determine the expected future price of the stock at
the end of this two-year period.
Answer:
P/E ratio for 2006 = 50
Share Price, 2006
P/E ratio for 2006 x 2006 EPS
50 x $1.15 = $57.50
$57.50 Share Price
b. Because of several intrinsic and market factors, Marc feels
that 25% is a viable figure to use for a desired rate of return.
1. Using the 25% rate of return and the forecasted figures you
came up with in question a, compute the stock’s justified price.
Answer:
Price of the share
We can calculate the price of the share by using PE ratio
PE ratio is MPS/EPS i.e market price of share to earnings per
share
23. for 2017= PE ratio is given as 35
35=MPS/0.89376
MPS=31.28
For 2018
50=MPS/1.1676
MPS=58.38
2. If C&I is currently trading at $32.50 per share, should Marc
consider the stock a worthwhile investment candidate? Explain.
Answer:
The stock is currently trading for $32.5 per share which is less
than the value we have calculated. so Marc should consider it as
a worthwhile investment because the MPS is going to pick up
more in future.
Case Problem 9.2 Deb Takes Measure of the Market
1. LG 5
Several months ago, Deb Forrester received a substantial sum of
money from the estate of her late aunt. Deb initially placed the
money in a savings account because she was not sure what to do
with it. Since then, however, she has taken a course in
investments at the local university. The textbook for the course
was, in fact, this one, and the class just completed this chapter.
Excited about what she has learned in class, Deb has decided
that she definitely wants to invest in stocks. But before she
does, she wants to use her newfound knowledge in technical
analysis to determine whether now would be a good time to
24. enter the market.
Deb has decided to use all of the following measures to help her
determine if now is, indeed, a good time to start putting money
into the stock market:
· Advance-decline line
· New highs-new lows indicator (Assume the current 10-day
moving average is 0 and the last 10 periods were each 0.)
· Arms index
· Mutual fund cash ratio
Deb goes to the Internet and, after considerable effort, is able to
put together the accompanying table of data.
Questions
a. Based on the data presented in the table, calculate a value
(where appropriate) for periods 1 through 5, for each of the four
measures listed above. Chart your results, where applicable.
Answer:
The Arms index = (The number of advancing stocks/The number
of declining stocks)/(The composite volume of advancing
stocks/The composite volume of declining stocks)
Arms Index[(Advancing issues(NYSE)/Declining issues
(NYSE))/(Volume up/Volume down) 0.525821596
0.20439551 1.91830855 0.696730457 0.39463639
b. Discuss each measure individually and note what it indicates
for the market, as it now stands. Taken collectively, what do
these four measures indicate about the current state of the
market? According to these measures, is this a good time for
Deb to consider getting into the market, or should she wait a
while? Explain.
Answer:
It is fairly bullish for investment purpose in period 1
period2period 4 and period 5 since Arms index is below 1.
Anything above 1as in the case of period 3 is considered
25. bearish. An Arms index of1 is said to be balanced market.
Period 1 Period 2 Period 3 Period 4 Period
5
Mutual Fund Cash
ratio(MututalFund
cash/Total Assets) 4% 5% 7% 9%
10%
c. Comment on the time periods used in the table, which are not
defined here. What if they were relatively long intervals of
time? What if they were relatively short? Explain how the
length of the time periods can affect the measures.
Answer:
Mutual fund cash ratio is below 5% for period 1 which seems
fairly bullish. The perspective remains balanced for period
2.However since Mutual fund cash ratio is above 5% for period
3period 4 Period 5, the sentiment is fairly bearish and not
advisable for making investments under these periods.
A/D Line = (No of Advancing Stocks - No of Declining Stocks)
+ Previous Period's A/D Line Value
Period 1 Period 2 Period 3 Period 4 Period
5
AD Line
(Advancing
Issues
(NYSE)-
Declining issues
(NYSE) -1,010 -1,704 -2,414 -1,832
-1,224
26. As per AD Line, The Sentiment is fairly bearish with regard to
all periods and hence investment should be avoided.
Period 1
Period 2
Period 3
Period 4
Period 5
Dow Jones Industrial Average
8,300
7,250
8,000
9,000
9,400
Dow Transportation Average
2,375
2,000
2,000
2,850
3,250
New highs
$ 68
$ 85
$ 85
$ 120
$ 200
New lows
$ 75
$ 60
$ 80
$ 75
$ 20
Volume up
600,000,000
82. · Behavioral leadership theory made major contributions to
leadership research.
· But it found there is no ‘one’ best style of leadership.
Leadership Behavior is Based on Traits:
· Leaders’ behavior is based on their traits and skills.
· Directly affecting their behavior and relationship with
employees.
· Leading by example is important.
· Behavior is easier to learn and change than traits.
Leadership Style:
· Leadership style is the combination of traits, skills, and
behaviors leaders use as they interact with followers.
· While based on traits and skills, the important component of a
leadership style is behavior.
· Consistent patterns of behavior characterize a leader.
Autocratic leadership style
· The autocrat makes the decisions, tells employees what to do
and closely supervises workers.
Democratic leadership style
· The democrat encourages participation in decisions, allows the
group to determine tasks and does not closely supervise
employees.
University of Michigan Leadership Model:
· Created and used the Survey of Organizations.
· The University of Michigan Leadership Model thus identifies
two leadership styles: job-centered and employee-
83. centered.
· Job-Centered Leadership Style has scales measuring goal
emphasis and work facilitation.
· Employee-Centered Leadership Style has scales measuring
supportive leadership and interaction facilitation. [Being In
Between.]
High-High Leader Research:
· The high-high leader has concern for both production and
people, or
· Team leadership style.
· There is some support for the high-high leader style as the
universal theory.
· However, it is not accepted as the one best style in all
situations.
Leadership and Motivation Theories:
· Motivation is anything that affects behavior in pursuing a
certain outcome.
· Through the motivation process, people go from need to
motive to behavior to consequence to satisfaction or
dissatisfaction. [Ups and Downs.]
Content Motivation Theories:
· Content motivation theories focus on explaining and
predicting behavior based on people’s needs. Includes:
· Hierarchy of Needs Theory,
· Two-Factor Theory, and
· Acquired Needs Theory.
· The key to successful leadership is to meet the needs of
employees while achieving organizational objectives.
Hierarchy of Needs Theory:
· In the 1940’s, Abraham Maslow (We will need to use his name
in the dissuasions and his thoughts.) developed his hierarchy of
needs theory based on these four assumptions.
84. 1. Only unmet needs motivate.
2. People’s needs are arranged in order of importance
(hierarchy) from basic to complex.
3. No motivation to fulfill a higher-level need unless the lower-
level need(s) are met.
4. People have five classifications of needs.
Hierarchy of Needs:
· The hierarchy of needs theory proposes that people are
motivated through five levels of needs.
1. Physiological needs – basic needs.
2. Safety needs – safety and security.
3. Belongingness needs – also called social needs.
4. Esteem needs – focuses on ego, status, self-respect.
5. Self-actualization needs – reach one’s full potential.
· Today, Maslow and others realize needs are not on a simple
five-step hierarchy.
Maintenance and Motivators:
Maintenance factors:
· Also called extrinsic motivators.
· Extrinsic motivators include:
Pay,
Job security,
Working conditions,
Fringe benefits, and
Relationships.
Motivators:
· Also called intrinsic motivators.
· Intrinsic motivators include:
Achievement,
Recognition,
85. Challenge, and
Advancement.
· Better motivators than extrinsic factors.
Motivating Employees with Two-Factor Theory:
· Money as a motivator:
· Money will not necessarily motivate employees to work
harder.
· Motivating with the Two-Factor Theory:
· Under the new paradigm, pay is important, but the best
motivators are intrinsic motivators.
· Herzberg developed job enrichment, the process of building
motivators into the job.
Acquired Needs Theory:
· Acquired needs theory proposes that people are motivated by
their need for achievement, power, and affiliation.
Balancing Work-Life Needs:
· Work-life balance is also called work-home and work-family
balance.
· Life needs a healthy balance.
· The global marketplace allows for around the clock work
causing work-life conflict.
· Two things organizations are doing:
· Providing on-site day care centers, and
· Offering flextime.
· Blue-Collar: No education, skilled trade, and labor.
· White-Collar: Education, Salary, Marketing, Lawyer, and
Professors.
Equity Theory:
· Equity theory proposes that people are motivated when their
86. perceived inputs equal outputs.
· People compare their inputs and outputs to that of relevant
others and conclude if they are under-rewarded, over-rewarded,
or equitably rewarded.
· When inequity is perceived, employees attempt to correct the
balance.
Motivating with Equity Theory:
· When employees feel under-rewarded, they are demotivated.
Expectancy Theory:
· Expectancy theory proposes that people are motivated when
they believe they can accomplish the task, they will get the
reward, and the rewards for doing the task are worth the effort.
Motivating with Expectancy Theory:
· These conditions result in motivation:
· Clearly defined objectives and the performance needed to
achieve them,
· Tie performance to rewards,
· Be sure rewards are of value to employees,
· Make sure employees believe you will do what you say you
will do, and
· Use the Pygmalion effect to increase expectations.
Goal-Setting Theory:
· Goal-setting theory proposes that specific, difficult goals
motivate people.
· Writing objectives model are
(1) To + (2) action verb + (3) singular, specific, and
measurable result to be achieved + (4) target date.
· Goal setting might be the most effective management tool
available.
An example of mine, based on that formula above:
My aim to graduate by the fall semester in 2019, by the next
semester with honorary certificate.
87. Giving Praise: (Important to him. Yet not for the class purpose)
· Giving praise creates a win-win situation.
· The steps in the giving praise model are (1) tell the employee
exactly what was done correctly, (2) tell the employee why the
behavior is important, (3) stop for a moment of silence, and (4)
encourage repeat performance.
Running Head: LEADERSHIP
1
Motivational Theories 2
Name: Abdulaziz
Date: 05/14/2019
A leader appreciates the fact that their most important asset is
the human resource they manage. Such a leader acknowledges
that the failure or success of the organization is dependent on
how the employees of the organization have been motivated.
Modern leadership theories incorporate the element of employee
motivation and empowerment as critical elements that define
great leadership skills. Consequently, leaders are therefore
mindful that objectives of the organization can be met more
efficiently when they attend to the needs of the employees. The
88. acquired needs theory is the most preferable content motivation
theory. This is because it proposes that because individuals
have different experiences and preferences they are bound to
have different needs. Therefore, leaders should not use the same
formulae to satisfy the needs of employees because this needs
maybe different (Rudolph, 2016).
Employee motivation can be perceived from different
dimensions. Process motivational theories attempt to perceive
employee motivation from a behavioral and psychological
dimension. The theories seek to explain how the needs of
employees might influence their behavior at work. The most
preferable theory in this category is the equity motivational
theory. The theory proposes that when workers feels their
efforts are not rewarded equitably they become less motivated
and their productivity might be negatively affected (Rudolph,
2016). If a worker feels their efforts is not comparatively equal
to their fellow employees, they will seek to adjust their efforts
upwards or downwards to march the effort of other employees.
As a leader, the theory encourages that employees should be
rewarded based on the effort they put at work. Any deviation
from a reward system that is perceived to be equitable can
create disharmony among employees making them feel less
motivated.
In any position of power, positive and negative reinforcement
always comes in handy depending on the nature of employees
one is dealing with. The pain, humiliation and public annoyance
that is derived from negative reinforcement might motivate
employees to avoid engaging in actions that not desired at work.
However, it comes with a risk of losing their respect as they
will only fear the consequences of their actions and not
appreciate the importance of following the rules. On the other
hand, a positive reinforcement generates pleasure and a sense of
appreciation by the organization (Temminck, Mearns & Fruhen,
2015). This form of motivation is more beneficial to both
parties and breeds mutual respect. The best model to employ a
mixture of both forms of reinforcement so that you cater to
89. employees of every kind.
References
Rudolph, C. W. (2016). Lifespan developmental perspectives on
working: A literature review of motivational theories. Work,
Aging and Retirement, 2(2), 130-158.
Temminck, E., Mearns, K., & Fruhen, L. (2015). Motivating
employees towards sustainable behaviour. Business Strategy
and the Environment, 24(6), 402-412.