Exchange rates

Exchange rates A. See Figure 8.4 attached. 1. Calculate the annualized forward premium or discount on six-month forward yen. 2. If you are planning to go to Japan this summer, should you buy your yen today? Why or why not? 3. According to the covered-interest arbitrage theory, is the United States or Japan expected to […]

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Value per share

Value per share Assume that the average firm in your company’s industry is expected to grow at a constant rate of 5.5% and its dividend yield is 8.3%. Your company is about as risky as the average firm in the industry, but it has just successfully completed some R&D work that leads you to expect […]

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Foreign currency risk

Foreign currency risk You are now the not-so-new CFO of Agri-Drone. It’s been over a year since you introduced the Company to the idea of managing risks it confronts in doing business overseas. The market buzz about the Company’s innovation has continued. The first foreign customer, the French farming cooperative, has made additional purchases, and […]

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Portfolio Expected Return

Portfolio Expected Return Stock A has an expected return of 15% and stock B has an expected return of 6%. However, the risk of stock A as measured by its variance is 3 times that of stock B. If the two stocks are combined equally in a portfolio, what would be the portfolio’s expected return? […]

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Investment science

Investment science Write system of equations for the 2nd Markovitz problem: given n assets and correlations between them and given sigma find equations for weights of the portfolio which maximizes mean return with a given sigma. You need to use Lagrange multipliers here. Is this the question you were looking for? If so, place your […]

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Principles of Finance ~ “Amortization”

Principles of Finance ~ “Amortization” Amortization F=1-(1+i)^-n / i (R) ~ “Decreasing Annuity Formula” There is a luxury home listed for $7,500,000.00. Determine a down payment. The preference is 30% downpayment to avoid PMI. Please provide justification Identify 2 different financing options for the home. Use Excel (or other approved spread sheet) to create an […]

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Original Essay Assistance – Please

Original Essay Assistance – Please Write a 1,250-1,500-word paper analyzing concepts of contemporary financial management within the context of today’s economic conditions and the increased occurrences of corporate restructuring. Use the matrices you completed in Modules 1 and 4 to help guide your thinking. Research financial management and corporate restructuring. Use a minimum of three […]

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What is the maximum benefit Alicia can receive in 2013

What is the maximum benefit Alicia can receive in 2013 Alicia has been working for JMM Corp. for 32 years. Alicia participates in JMM’s defined benefit plan. Under the plan, for every year of service for JMM she is to receive 2 percent of the average salary of her three highest years of compensation from […]

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Fin 313 problem

Fin 313 problem Adrusco Corp. has the following B.S. LTD Bds (7 1/6%) 10,000,000 O.E. CS($1.oopar) 20,000,000 Surplus 5,000,000 PS( $10.00 par, 8 1/2%) 30,000,000 surplus 10,000,000 RE 40,000,000 1 Assume Andursco’s common stock is quoted on the OTCBB at 159/ 7/19. The VP of finance recommends a 4-for -1 split to increase trading activity. […]

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