Essays on Market Value

Chapter III

This chapter will review the background of Real Property Law in the Kingdom of Saudi Arabia. In order to lay the foundation for comparisons in subsequent chapters, the elements of the Saudi judicial system and real property law will be reviewed. The background information pertaining to Saudi Arabia will feature the judicial court system, the property rights and real property ownership. A review of the current mortgage law in Saudi Arabia will be analyzed as well as possible reform to include the application of anti-deficiency laws.

Introduction

Saudi Arabia is governed by a monarchy. Its current legal system under the ...

Bloomberg Businessweek Assignment #1

What is Behavox and how is its software in use? Behavox is a startup company that is based in London. Adylov started the company in June 2014 (Finch & Robinson, 2017). It is acknowledged for creating a compliance surveillance software that provides the financial institutions with holistic employee surveillance solutions. According to Finch & Robinson (2017), this company promises to save money for the financial corporations, which have paid out hundred millions of dollars hiring back-office workforces, accountants, and lawyers to adhere to the rules around money laundering, capitalization, and risk. Behavox’s software catalogs computer logins, bathroom breaks, phone habits, ...

How can content marketing on social media channels be used in order to increase the level of customer engagement for the UK fitness industry?

Introduction Social media channels represent the new phenomenon, that has forced industries to change their attitude to marketing strategies, brand awareness, and customer engagement. The social media channels today pose certain threats to the traditional advertising, which treats the customers as a homogeneous crowd . In this extent, the social media channels are highly personalized presenting the versatile and verified social media content to the targeted audience. The marketing specialists are always in constant search of ...

Improving the Operating Strategy of Marriott

Improving the Operating Strategy of Marriott The purpose of the report is to develop a recommendation for improving a company’s current strategy in order to remain sustainable in a highly competitive economic environment. The recommendation will be based on an analysis of both the external and internal factors that affects the company. This includes both qualitative and quantitative factors since the report is segregated into (1) environmental scan and risk analysis, (2) ratio analysis, (3) financial statement analysis, (4) weighted average cost of capital, and a (5) strategy development. The company chosen to be analyzed is Marriott International, ...

On 20 Moorgate EC2, London City, UK

For Henvesco Manager of Central London Office Unit Trust (CLOUT) As of Real Estate Acquisition Team (REAT), London, UK Project no. Regarding: 20 Moorgate, London, UK In order to comply with your request, our team has conducted research on the market data and is through with the value analysis of the property named above. This study is therefore presented to you in a summarized report that narrates the factors surrounding the acquisition of 20 Moorgate EC2. This study is geared towards estimating the market value of the Estate “As is” on 31st March 2017.the report is therefore written in ...

Abstract

In this document, strategic analysis of the two selected industries from the London Stock Exchange for the period January 2015 to December 2015 is presented. 530 and 570 that are Pharmaceutical and Energy Exploration Sector. The second part of this report shares analysis and interpretation of the monthly capital using descriptive analytic and trend analysis. Moreover, business forecasting is done using regression analysis. After seeing the trend lines for market capitalization of the both sectors, it can be seen that the pharmaceutical industry had relatively higher market capitalization average during the period. On the other hand, the market capitalization ...

CHAPTER II

This chapter will seek to conduct an absolute inquiry into what makes up security interest laws in the United States. In order to lay the foundation for comparisons in subsequent chapters, the three main elements of the study of the Saudi system will be reviewed here in the context of U.S laws with an emphasis on California state law. The features of the California legal system will include the assessment of foreclosure rules and patterns in California. This will include a detailed fact-based evaluation of CCP580 (b), CCP580 (d) and CCP726 (a). The different components will enable the study ...

Apple manufactures iPhone, its mobile brand, iPad, Mac, the personal computer brand, iPod, the Apple TV brand, a few software applications, a couple of operating systems, and some accessories. The company also sells digital applications through the Apple’s own app store, iBooks store and Macintosh app store. The Company sells its products worldwide through its retail stores, online stores, and direct sales force, as well as through third-party cellular network carriers, wholesalers, retailers, and value-added resellers. The company also sells third-party mobiles, related computer hardware and software, and related accessories. These products are sold via the company’s ...

Abstract

When an organization has cash inflows and outflows of foreign nature, the cash forecast for every currency will help during the identification of the currency exposures. The format of the estimation should allow the users to determine the balance for every currency and whether there is a growing shortage or extra money over time based on reasonable cash flows. The increasing gaps between the cash inflows and outflows may need hedging, and the cash flows that offset over time represents the issue of timing effectively. The management of foreign exchange transaction can be achieved through the offsetting transactions to ...

PART A

Question one Apple Computer was incorporated in 1977 to design, manufactures as well as marketing mobile communication and media devices (Reuters.com, 2016). Moreover, it also sells different related software, and third party digital applications. Its products are iPhone, Apple television, iPod, Mac, both consumer and professional software applications, iOS and OSX operating systems. The Apple computers Inc. provides a variety of mobile communications, personal computing products, and portable digital players.

Question two

The operating performance of Apple Inc. relies on the general economic conditions. Therefore, for the last four years (1999 to 2002), the demand for the Apple's products has been ...

Chapter 1: Introduction 3

Chapter 2: Financial Performance and Position of TESCO 6 Chapter 3 Financial Management Policy 14 Chapter 4 Investment Strategy 18 Chapter 5 Valuation of TESCO 22 Chapter 6 Conclusion 26 Abstract The present report provides critical analysis of financial positioning of Tesco Plc. For this, the financial data has been gathered for past five years as well as its competitors to critically assess financial positioning of Tesco in the retail industry. The reports highlight the recent issues of Bretix which has significantly impacted economic conditions of the United Kingdom leading to declining the consumer confidence because of triggering inflation. ...

Innovation and Risk Management

Innovation and Risk Management

Introduction

This report aims at producing a strategic growth report for Apple Inc. Apple Inc is a telephony company that provides innovative products to suit customer’s needs. The innovativeness of Apple Company is a significant factor in steering its growth in the international market. The paper delivers the strategic growth plan in four parts. The first part is an overview of Apple Inc and why it is innovative. The second part contains the strategies that Apple can adopt to realize the proposed growth. Third is the components of New Product Development and how it can ...

A) Cost of Equity Calculation:

= Risk free rate+ Beta(market risk premium) = 2.24+0.57(6.2) = 5.78%

Calculative Notes:

a) Risk Free Rate:

30-year US treasury rate: 2.24%

b) Equity Risk Premium:

Duff and phelps equity risk premium: 6.2%

c) Beta: 0.57

B) Cost of Debt: 2.72%

For the purpose of calculation of cost of debt, we have assumed average of yield to maturity of existing bonds of the company. c) Equity and Debt Weights: D) Cost of Capital-On Book Value basis

E) Cost of Capital-On Market Value basis

Important to note, cost of capital based on market value is the most appropriate as it represents the appropriate risk involved within the company’s capital structure.

G) Equity and Asset Beta

Beta (asset) = Beta (equity) / [1+ [(1-t)*D/E]] The above table indicates that amongst all ...

Business

2016-07-28

Introduction

This paper is devoted to the company Nissan Motor Company Ltd. and its management system. The great attention is paid to the operations management, supply chain, inventory management and other aspects, which can significantly impact on the company’s effectiveness. Nissan is currently demonstrating a steady growth in terms of volume of production and sales, as well as developing its technologies in different fields. Nowadays, the company Nissan produces cars in twenty countries around, which include Japan, USA, England, Spain, India, Brazil, Mexico, Russia and others. Sales are conducted in more than one hundred and sixty countries. Company ...

QUESTION A

Credit Default Swap It is a financial instrument lenders use to hedge default risk. The lender acquires a CDS and pays premiums to the CDS seller who takes the default risk (Lasher 200). If the borrower defaults, then the CDS seller pays the par value of the loan to the lender. The CDS seller also pays the protection buyer accrued interests on the loan during the intervening period.

Cash flows in case of no default

Annual CDS premium = 4% × 1,000,000 = $40,000 Quarterly payments = 40,000/4 = $10,000 A will pay quarterly CDS premiums to B for the three years. At the end of ...

QUESTION A

Definition of Credit Default Swaps A CDS is an instrument used to transfer the risk of default or credit exposure between two or more parties (Fabozzi and Kothari, 2008). It protects the lender from the possible loss of default by the borrower. The lender (protection buyer) pays premiums to the CDS seller. In return, the CDS seller guarantees to pay the lender the face value of the loan plus interests due in the intervening period if the borrower defaults.

Cash flows

Annual CDS premium = 4% × 1,000,000 = $40,000 Quarterly payments = 40,000/4 = $10,000 The borrower does not default ...

Business Risk

This risk or uncertainty concerns that an organization may witness decline in profitability or might suffer from losses in any financial accounting period. Business risks originate from different uncertainties such as changes in consumer tastes, change in preferences and buying behavior, modifications to government policy as well as increase in intensity of competition etc. business risks also stem from those unforeseen or unexpected events that may cause a business to fail in future . Business risks are not just related to an organization as a whole. Different departments of an entity face numerous business risks that are unique to their ...

GAAP and Consolidation

The Generally Accepted Accounting Principles (GAAP) that are used in the United States issue very specific instructions on how companies should consolidate their financial reports when a merger or acquisition is accomplished. These instructions came as a result of the Enron scandal during the early 2000s, as the energy company shifted deadweight losses to subsidiary companies owned by executive staff to make its balance sheet look as profitable as possible. The losses were therefore hidden from public view, and contributed towards the impending financial collapse of the company. Because Enron led by example, the Financial Accounting Stability Board (FASB) ...

1.0 Background Capital structure decisions are critical for the profitability and or growth objectives of for-profit organizations. Financial managers are given the liberty of choosing the components of their capital structure as long their maximize the value of the stock and at the same time achieve some of the core objectives of firms. Some of these include maximization of the company’s value. Managers all over the world strive to find a combination of investment with the best gearing ratio. According to Huber (2011) excessive use of debt financing could lead to too much of the firm's profits being ...

Final Case Study Project

Introduction In this paper, we will describe and discuss the application of statistics and probability theory to a real-world problem. Our task is to study the impacts of a variety of factors influencing house prices in Prescott, Arizona. As it was mentioned in the previous studies, there are five lakes in the Prescott metropolitan area that provide a number of benefits to those who live or spent their holidays in this area. These benefits include scenic beauty, recreational opportunity, clear water, fresh air and so on and so forth. It is assumed that the property prices should depend on ...

Introduction

Capital structure refers to a company’s alignment of the long-term and short-term debts, common equity and the preferred equity. The term also include the analysis of how the company decides on how to allocate the cash flow into various components including a portion that is allocated to meet the financing needs of the debt capital and the other portion that is allocated to the shareholders as part of the dividend. Capital structure is a subset of the financial structure. Financial structure refers to the relative proportion of the various sources of finances that are used in the business ...

As a firm’s risk manager, it is your responsibility to ensure the proper amount of insurance is purchased to cover any damages to the firm’s property and assets. In order to purchase the proper amount of insurance to cover these cases, the risk manager must determine how much the property and assets are worth. Determining the worth of the property can be done in two ways: actual cash value and replacement cost. Actual cash value vs replacement cost (2007) defines actual cash value, or market value, as the value of the property or assets that one might ...

Introduction

Tingyi Holding Corporation is the Chinese company that deals in the production and distribution of instant noodles, baked products, and beverages. The company also produces soft drink under its brand name of Master Kong. The company is the largest manufacturer of instant noodles in China. Tingyi Holding Corporation was established in 191 by the Wei Brothers of Taiwan. The company got listed in 1996. The soft drink brand of the company, Master Kong, was declared to be the second most recognized brand in China. The company started producing instant noodles in 1992 under the brand name of Master Kong ...

Performance Measurement

Asset Utilization Revenue generation by each employee is perceived to be better for Boeing at $595,501.86, which may be due to a better employee retention policy. This was concurred by Boeing’s annual report where it revealed that the management has good relations with its employees since 38% are represented by unions (Boeing, 2016, p.20) with Lockheed at 18% (Lockheed, 2016, p.18). Due to the better employee retention, Boeing was able to generate a higher amount of sales based on its investor’s capital or equity at 15.02 but Lockheed was not lagging far behind at 14.90. The ...

INVESTMENT PORTFOLIO STATEMENT

Investment Policy Statement: Executive Summary: Type of policy: Individual Retirement Investment Policy Tax ID: A1258122 Current assets: $10,000,000 Return: 7 % 1-yr Loss Limit: (Worst case scenario): - 10 % Purpose of investment policy statement: The main purpose of this Investment Policy Statement (IPS) is to provide the client with a clear investment plan that ensures maximum returns. The IPS plays the role of assisting the client in monitoring, evaluating and supervising his or her investment portfolio. The IPS therefore:

Provides an excellent overview of all investment options available to the client.

Ensures that all investment options are in line with the client’s needs, wants, and objectives. It provides ...

Introduction to PepsiCo Incorporated

PepsiCo is an American multinational company having its origin in the United States. The company is a market leader in the global beverage industry. The biggest and worldwide competitor to PepsiCo is the Coca-Cola Company. PepsiCo serves the worldwide market and gain access to audience by mainly sponsoring sports events, players and teams.

Pro-Forma Financial Statements of PepsiCo Incorporated for 2016 (the next period)

This section is aimed at displaying the financial statements of PepsiCo for the next financial accounting period (2016) as well as the last statements for 2015. The pro-forma income statement and balance sheet are prepared by assuming a ten percent increase in sales revenue and cost ...

A critical analysis of decision- making methods/ heuristics

Decision making involves a process in which choices are made by setting goals, collecting relevant information, and performing an assessment of the available alternatives to make the best choice. Decision making is crucial to the management in determining the optimal choices from multiple alternatives available in business operations. According to Goodwin and Wright (2014), various heuristics are deployed in the process of decision making by the individuals or organizations depending on the alternatives involved. These methods include recognition, minimalistic, and lexicographic approaches.

Recognition method

In this method, the decision making is determined using set criteria for evaluating the available alternatives. Primarily, ...

The purpose of the report is to examine how the acquiring company, Boeing, will acquire its most significant competitor Lockheed Martin Corporation. This is despite the fact that both companies are competing in the aerospace/defense products and services industry (Yahoo, 2016). Boeing is considered as the largest commercial, defense, space and security manufacturer in the world (Boeing, 2016, p.ii) while Lockheed manufactures products for government agencies under the civil, intelligence, and defense departments (Yahoo, 2016a). The difficulty in this task is that Boeing’s market capitalization is at $84.79 billion, which was only slightly higher than the market capitalization ...

Problem Presentation

RealTechy Inc. has been experiencing growth in its sales following the increased demand for its products in the market. Over the years, the corporation has had the best products in the market. Its products have held a reputation for being of high quality as opposed to the others in the market. Besides, the firm is renowned for offering quality services to the clients regarding the delivery of products as well as customer complaint handling. Products’ quality and excelling customer service have translated to the continued growth of the firm. Currently, the company is facing the challenge of balancing quality ...

Walmart is a multinational store that was founded on the idea of selling inventory at a low price (selling more for less). This selling concept has propelled the retailer to be among the largest across the globe. The firm enjoys a presence in over twenty-eight countries. Its network is made up of eleven thousand five hundred stores and eleven e-commerce sites (Walmart, 1). The adoption of e-commerce has enabled it to tap the growing demand for internet shopping. In the recent financial year, the firm revenue was $482.1 billion. The continuous growth and increasing economic value of the retail ...

Market-based compensation program is much greater than the structure of a wage range. In general terms, it is an overall compensation concept driven on the present market value situations for attracting preferred talent (Armstrong, 2012). Other primary considerations that propel market compensation strategies incorporate:

Competition

Understanding competitors pay practices remain a major consideration when identifying market value for task. Moreover, they determine whether they match, lead or lag the market in their overall remuneration practices (Boeri, 2015). Firms such as Facebook, PayPal, Google, Apple, Twitter, and LinkedIn are recognized for their market-prominent reward program, although how each get there varies. ...

Industry Background

The company chosen to be the focus of the discussion in this paper is Arcelik AS. It is a publicly listed firm in Turkey, under the Istanbul Bourse (formerly the Istanbul Stock Exchange). For the industry, analysis, two industries will be focused on since Arcelik AS markets a wide range of products in more than 100 countries. Its two biggest departments would be the consumer electronics and home appliances department. The company is a known manufacturer or white goods or large electrical products. Some of the best examples would include refrigerators, washing machines, freezers, dishwashers, coffee makers, food processors, ...

Investment Report

Background In this section, a brief overview of my personal experience in this field of investment and the personal risk tolerance that comes up together with the objectives and the goals will be touched a little bit. No one can dispute my experience because I was able to manage a good portfolio successfully in the Saudi market regarding investments in stock and this has empowered me skillfully (Dunning, John H 30). The abilities gained and all the tricks learned shall be applied by me in the successful investment in the stock market field. The major aim of all these ...

John Sunna

IFRS and GAAP are two most commonly used accounting standards. The differences between them complicate the comparability of financial statements of different companies. The accounting bodies understand the necessity of convergence of the two standards. Thus, the International Accounting Standards Board (IASB) and Financial Accounting Standards Board (FASB) work on several joint projects to facilitate this process. This paper addresses the differences and similarities between IFRS and GAAP as regards accounting for financial instruments, long-term assets, and liabilities. IFRS 8-1: What are some steps taken by both the FASB and IASB to move to fair value measurement for financial ...

Executive Summary

The purpose of the assignment is the financial analysis of the global brand, Coca Cola along with the brief environmental scanning. The report starts with analyzing the competencies of the Company in internal and external environments and how these dynamics affect the operations of the Company. Given this environmental analysis, the Company decides its strategies, which directly affect the financial position of the Company. As an financial entity, Coca cola is a stable company with strong financials and balanced spending and revenue. The ROE of the Company as per the DuPont analysis is on a rise, which is a ...

International FinanceName of the StudentCourseProfessorUniversityDate

International Finance INTRODUCTION

British Airways is one of the leading airlines in the United Kingdom primarily dealing with vacations and flights internationally. They have several subsidiaries and have increased their fleet to 262 planes. British Airways now has flights to 169 destinations.

Company B: Volkswagen

Volkswagen, Europe’s leading carmaker and one of the most successful global companies, reported a 95 drop in 2003 fourth quarter profits which collapsed from €1.05 billion to a plain €50 million. For all of 2003, Volkswagen’s operating profit fell by 50 percent from the record levels attained in 2002. Although the profit crash had more ...

Introduction

Practicing business ethics involves three major steps; first, there must be a set of values that are used as a guideline in decision-making in a business environment, second, an understanding of the parties affected by those values and finally deciding on what actions works best for the values (Harry 45). Business ethics enable us to tell what is right and what is wrong in the course of doing business concerning the law. Good values make the society a better place to live. This essay gives a case study on business ethics in four parts. The first part introduces the ...

1. The capital budgeting system for Target has three different entities. These entities include the real estate managers, the research and planning group, and the capital expenditure committee. The approval process of the capital budget allocation will start with the proposals that are passed on to the real estate managers, which they manage the specific geographical regions. The real estate managers will develop the proposal by gathering and satisfying the different details and all of the requirements in order to prepare it for the pitch to the CEC. The proposal is processed would then be sent to research and ...

Introduction

Mark to market, also called fair value accounting, has been one of the most controversial accounting methodologies in financial reporting. Mark to market refers to an accounting process in which the reporting entities report the value of assets and liabilities as per the current market value as opposed to the book price thus making the methodology highly subjective (Association of American Bankers, 2016: Serakibi, n.d.). Therefore, since the reported value is pegged on the prevailing market value, it follows that the value of the financial statement would change as the market changes. In most cases, the change in value ...

Article Summary

As the chemical and agricultural inputs giants Du Pont and Dow Chemical Co. decide to merge, it raises a number of questions as to the way it is going to increase market concentrations for the products they manufacture. The merger is expected to create a market value of over $130 billion . While considering the market value and possible increase in market share of the merged entity it should also be remembered that in many of the products like corn seeds and house-wrap the two companies are not competitors. In addition to that, the two companies themselves have expressed their ...

Dat

Analyst Report: NordStorm About the company and overview Founded in the year 1901, Nordstorm is a fashion retailer and one of the top rated operators in the departmental store industry. The company has successfully enhanced its brand equity by developing differentiated curated products, increasing storing count and targeting niche customer base. Most recently, the company is in news for investing in omni-channel capabilities as part of which, a heavy expenditure is made on store improvement, expansion and improvement of IT infrastructure.

Competitive Advantage

a) Investment in technology Nordstrom thrives of providing fabulous shopping experience to its customers and this has remained ...

Evaluation of franchise investment

The franchise investment project is evaluated based on the net present value and the internal rate of returns. The available information is used to determine the NPV and IRR of Schneller Zug and Kyuko Densha. The two measures are used to assess whether each project is viable. NPV and IRR also help in choosing the better project between the two. NPV and IRR are determined using the cost of capital for Javelin Railway Co.

Determination of the cost of capital

The cost of capital is the return investors require from investment to secure funding. It is the minimum return projects must generate to be funded ...

Value-at-Risk

Introduction Risk assessment is essential in portfolio management. A portfolio manager has the duty of maximising returns of the portfolio of the assets for each level of risk. Alternatively, a portfolio manager should minimise the risk of the portfolio at any level of return of the portfolio. Several models are used in assessing the risk involved in a portfolio of investments. Value-at-risk is widely applied in determining portfolio risk. We explore the concept of value-at-risk and its usage in portfolio management.

It is a model that measures how much the value of a portfolio could fall over a specified ...

Introduction

Report’s aim Comprehensive analysis of a company is crucial for decision making regarding its inclusion in a portfolio. That requires forecasting a company’s performance to estimate the expected value of the stock and comparing it with the current market price so as to decide whether it is overvalued or undervalued. In that view, this analysis seeks to analyze the IMB Company with application of the Discounted Cash Flows method as well as WACC. With the values calculated, the value per share is compared with the current market price to make recommendations whether the stock is a buy, ...

Abstract

Establishing a business requires considering the opportunities and risks that it could face given the industry trends and prospects. That is because the industry trends determine competitiveness as well as the ability to meet the business goals. With that, this analysis presents a financial analysis of a business proposal for a coffee and bakery café based in New York City. The café caters to the youthful segment and serves products that consider the increasing health concerns over the effect of beverages and bakery products’ ingredients. Further, the analysis, involve an analysis of the most suitable approach regarding the space ...

Equity right offering is the disbursement and the invitation for security holders in a firm to subscribe or buy addition shares in the public traded company (Robert, 2000 p.131). The shares are classified as non-dividends size for size way of floating capital. Exiting shareholders are accorded the opportunity and benefit to acquire new shares of the firm in a prospectus issue. In reality the right issues is a public offering to the corporation shareholder to inject more equity for purpose of expansion and operation. Equity offering is more appropriate for Public traded firms because they don’t erode the ...

Introduction

Since the mid XX century, the oil industry occupies a leading position in the global energy sector. A prerequisite for the implementation of large-scale long-term investments in the oil industry under the condition of a favorable outlook for oil demand in the world market is the availability of relevant geological reserves of oil in a particular region and the world at large. OPEC-countries account for over 40% of world oil production. Especially, the Middle East, particularly the Gulf basin, where there are the largest oil fields in the world, is rich for oil reserves (OPEC, 2015). Oil is extracted ...

**Business 4465**

Be sure to put your name and student number at the top of the email attachment. Your document must be less than 10 typed pages. Please read the questions carefully. Write all you answers in a word document, label all questions carefully. The best answers are those that answer the questions well and concisely using material within the scope of the course and not irrelevant material from other sources or from the internet. Answers that are beyond the scope of the course will receive no marks. Answers that are not written in the own words of a ...

Part One

Risk There is no standard way to define risks. However, one of the definitions of risk is the probability that the return on an investment will be lower than the expected return (Business Dictionary, n.d.). Examples of risk include business risk, transactional risks and exchange rate risk.

Beta

Beta is a measure of systematic risk of a stock. The value measures the volatility of the stock compared to the volatility of the market (Forbes, n.d.). The value of Beta can be either positive or negative while the beta value of the market is always one. As such, in interpreting the ...

Question 1: What is Cineplex’s Altman Z-Score for 2013 and 2014?

Z = 1.2X1 + 1.4X2 + 3.3X3 + 0.6X4 + 1.0X5

Where:

X1 = Net Working Capital/Total Assets (it measures liquidity) X2 = Retained Earnings/Total Assets (it measures the cumulative profitability) X3 = Earnings before Interest and Tax/Total Assets (it measures the return on assets) X4 = Equity Market Value/Book Value of Liabilities (it measures the market leverage) X5 = Total Revenue/Assets (It measures the revenue generating potential of total assets) X1 = Net Working Capital/Total Assets = -184,021/1,609,416 = -0.11 X2 = Retained Earnings/Total Assets = -123,771 / 1,609,416 = -0.08 X3 = Earnings before Interest and Tax/Total Assets = (97,415 + 21,948) / 1,609,416 = 0.07 X4 = Equity ...

Introduction

Pakistan is a developing country and is the 26th largest nation in terms of purchasing power parity. A member of BRICS community, the nation has shown signs of becoming one of the world’s largest economies by 2025. In the past, the country had suffered from the ills of political disputes, energy constraints, poverty, growing population and non-conducive business environment that had halted the growth of the country. However, during the past few years, Pakistan has shown some optimistic signs of economic improvement with consistent growth in GDP and other macro-economic factors. Still, many factors such as social and ...

Acknowledgement

For this paper, I would like to thank especially my professor for providing me the necessary insights for the development of the article. Without his lecture, progress will not be achieved in this paper. You are very much appreciated. For the other people who helped, I also would like to extend my deepest gratitude. Learning will not be as enjoyable as this without you.

Abstract

Natural resources are continuously being consumed due to the demands and needs of the people and the different institutions. However, the need to protect and preserve the natural resources is being less prioritized by most ...

Risk, Return, and Portfolio Allocation: Why Stocks Are Less Risky Than Bonds in the Long Run

Risk, Return, and Portfolio Allocation: Why Stocks Are Less Risky Than Bonds in the Long Run

Summary of Chapter 2:

In the current article by Siegel J. J, the main idea explained is that the risk associated with the corporate bonds and the stocks is based on the market value in the future. The main focus of the article is on the lower risk levels long term investments in stocks as compared to the investments in the bonds. The techniques used in the article are analyzing the historical data and few statistical formulas such as correlation and the standard deviation. At the same ...

Introduction

The share has a nominal value and the market price. Nominal shares (nominal value) is a sum of money designated for the shares and reflects the share of the authorized capital of the company attributable to one share. The nominal value of a share is a particle of the authorized capital of the company, and it is carried out in proportion to the payment of dividends (Brockman, Mossman and Olson, 1997). Yet, with this amount of authorized capital amount corresponding to its shares may vary depending on the size of the nominal value of one share. If the value ...

Qn1

My advice to William job is that there are tax implications for selling the shares at a profit. In the event that the stocks are sold at a profit then William Jobs will incur capital gain tax. In This case the market value of the inheritance of $ 500,000 has a current market value of $550,000 today. The capital gain on the shares is $ 50,000. However, the rate applicable is based on the length of time the shares are held. The sole reason is that it prevents the effect of fluctuation in the market. The taxation of ...

Discussion Post

Discussion Topic #1 Response Gross Domestic Product computes and calculates the total value of goods and services in the market. It is the process wherein based on the discussion, total goods production are being measured in a specific period within the legal market. It is true that the goods and services being produced distributed and sold in the black market is not included in the Gross Domestic Product measurement because the output of these goods and services does not have the proper documentation that makes it included in the GDP measurement. Additionally, incomes that are produced from these products ...

ABSTRACT

The aim of this dissertation is mainly to analyzethe risk in the New York Stock Exchange using Statistical aspects and the computation of Value at Risk. The technique of Value at Risk or Value at Risk (VaR) is a methodology to standardize the calculation of the various risks that occur in a business e.g. banks, stock exchanges and corporations. The risk is defined as the probability of obtaining a result different than expected, the factors that will depend on the position of the entity, the risk factor under consideration and the time of calculation. Thus, the VaR seeks to establish quantitatively the ...

- Introduction

1.1 Background developments

Traditionally, accounting standards have been developed by different countries on the basis of local legal, economical and cultural institutions frameworks (Elliott and Elliott, 2009, p. 158). As a result, the standard setting was very country specific. With the globalization process at work for the last 3-4 decades and increasing mobility of capital internationally accepted accounting standards have become necessary to facilitate cross border transactions and make financial reporting comparable between countries and companies thereby leading to a greater transparency for investors (Nobes, 2004). IASB has been set up as a private international standard setter with a mandate to create high quality accounting standards ...

Langmead and Soroosh article on “Accounting for Financial Instruments: More Turmoil Ahead”, is based on the issue of global financial crisis that has given attention to financial instruments used globally including United States. Financial instrument transactions determine the standards of accounting features where some are regarded as counterproductive while others are regarded as counterintuitive based on asset derivations and securitizations. The article examines criticism on the quality of fair vale accounting as it relates to financial instruments. The author has done this successfully through a clear focus on financial instruments crisis, SEC report and financial crisis report, recent development in ...

Acknowledgement

Executive Summary The relationship between ownership structure and firm performance has gained substantial attention of in the finance literature. The present study investigates the ownership structure of firms as a corporate mechanism and its impact on firm’s performance. An empirical analysis of the firms listed on NYSE and NASDAQ belonging to different sectors has been conducted to investigate the relationship between ownership structure and firms performance. The objective of the research is to identify how the corporate governance and corporate identity influence firm’s performance on the basis of three research questions provided in the following.

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