Explore BrainMass

Explore BrainMass

    Finance

    BrainMass Solutions Available for Instant Download

    Expected Return Portfolio Stocks

    Consider the following information for three stocks, A,B,and C, and portfolios of these stocks. The stocks' returns are positively but not perfectly positively correlated with one another ... the correlation coefficients are all between 0 and 1 Stock Expected Standard Deviation Beta

    Professional Skills Essay

    Describe situations that you have been through which would be appropriate to apply on these two professional skills: 1. Managing Conflict Skills 2. Negotiations Skills Where possible, try to relate all skills in a 'business / financial situation' as my major is Finance. The assignment structure should be as below:

    Evaluate the after tax income from two dividend options.

    You purchase CSH stock for $40 and it is now selling for $50. The company has announced that it plans a $10 special dividend. Assuming 2008 tax rates, if you sell the stock or wait and receive the dividend, will you have different after tax income? If the capital gains tax rate is 33% and the dividend tax rate is 42%, what is

    Playing the stock market: Why would a good stock drop by $3.00 in one day?

    Why would a good stock drop by $3.00 in one day? What do you tell your client if the market drops again tomorrow and his stock drops with it? Are some people emotionally unsuited to handle the stresses of the ups and downs of the stock market? Should some people stay out of the stock market? If so, what are their invest

    MBA Risk Concepts

    Risk that can be eliminated through diversification is called ______ risk. a. unique b. firm-specific c. diversifiable d. all of the above Asset A has an expected return of 20% and a standard deviation of 25%. The risk free rate is 10%. What is the reward-to-variability ratio? a. .40 b. .50 c. .75 d. .80

    Whistleblowing Destroying Careers

    What would you do if you know that your "whistleblowing" will start a process that will destroy many careers (potentially your own included), the layoffs of many friends and coworkers when the scandal exploded, the loss of many savings and retirement monies. Please provide justification.

    Preferred stock

    Is preferred stock more like bonds or common stock? Explain.

    Constant- growth model for Metatrend's stock

    Metatrend's stock will generate earnings of $6 per share this year. The discount rate for the stock is 15%. and the rate of return on reinvested earning also is 5%. a. Find both the growth rate of dividends and the price of the stock if the company reinvests the following fraction of its earnings in the firm:(i) 0%; (ii) 40%,

    Estimating the current price of given stock

    Trend-Line Inc. has been growing at a rate of 6% per year and is expected to continue to do so indefinitely. The next dividend is expected to be $5 per share. a. If the market expects a 10% rate of return on Trend- Line, at what price must it be selling? b. If Trend- Line's earnings per share will be $8, what part of Trend-L

    Given the current state of the economy and our financial markets, it it more desirable for firms to raise money through debt or through equity at this time? Corporations almost always need more funds and capital in order to keep running, so not raising funds is not an option. So is debt or equity the best option at this time for a typical corporation given the difficulties of our financial markets?

    Given the current state of the economy and our financial markets, it it more desirable for firms to raise money through debt or through equity at this time? Corporations almost always need more funds and capital in order to keep running, so not raising funds is not an option. So is debt or equity the best option at this time for

    Estimating the current value of given stock..

    Currently a firm is earning $3.80 per share (EPS=$3.80)and has a dividend payout ratio of 70% today and in the foreseeable future. Starting next year EPS is expected to grow by 30% for three years and 20% for the next three years. Starting in year seven the EPS growth rate will gradually decline over three years to 8% and

    Accounting and Finance: Balance Sheet and Income Statement

    #1. (Balance sheet and income statement) Johnson's Scuba Co. has a weird accountant who reported the balance sheet and income statement items in alphabetical order. Please put these items in the correct format for a balance sheet and income statement for Johnson's Scuba Co. for the year ending January 31. All of the data are in

    Harley Davidson Motorcycle X and Y

    Harley Davidson sells motorcycle X and Y. Motorcycle X sells for $10,000, has variable cost (labor and material) of $2,000, and requires 10 hours of use of machinery to produce. Motorcycle Y sells for $12,000, has variable costs (labor and material) of $8,000, and requires 2 hours of use of machinery to produce. Harley Davidson

    Planning for Early Retirement

    USE AN EXCEL SPREADSHEET You are planning for an early retirement, so you decide to invest $5,000 per year, starting at age 27. You plan to retire when you can accumulate $1M. If the average rate of return on your investments is 9.25%, how old will you be when you accumulate the $1,500,000.

    Excel Functions - Sumif, Sumifs and Dropdowns AIS

    1. Open the excel file and click on the data worksheet. Use the SUMIF function to calculate the total amount of sales in dollars (A/R Change) for each of the four types (Blue, Red, etc). This should match these totals. August Sales in Dollars by Type Blue $33,090.89 Green $36,701.39 Red $37,061.09 White $43,480.92

    Cost of Internal Equity Capital and External Equity Capital

    1.The common stock for Grapevine Plumbing Company currently sells for $40 per share. If a new issue is sold, the flotation cost is estimated to be $7 per share. The company had earnings of $2.00 per share four years ago. Next year, the company expects to have earnings of $3.22 per share. The company maintains a constant dividend

    Loan Amortization

    Messineo LLC borrowed $15,000 at a 14% annual rate of interest to be repaid over 3 years. The loan is amortized into three equal annual end of year payments. As the CFO of Messineo, LLC you must prepare a report of the pertinent information in a short summary for the CEO. a. Calculate the annual end of year loan payment amou

    Balance Sheet, Income Statement, or Both

    Do the following categories of ratios get their information from the balance sheet, the income statement, or both? a. Liquidity Ratios b. Profitability Ratios c. Turnover Ratios d. Capitalization Ratios.

    Corporate vs. Shareholder Conceptions

    Referring to the case file attached, can somebody guide me through the following question: The case describes two conceptions of managers' responsibilities (on the ninth page). Which do you favour: the shareholder conception or the corporate conception? Does your stance make a difference in this case?

    Finance Question: How to de-bias a forecaster's opinion

    Question 1 Say the level of the market as measured by the Dow Jones Industrial Average is currently at 12,000. A forecaster has made a prediction of 13,300 for the level of the market in one year, along with a 95% confidence interval whose lower bound is 12,500 and whose upper bound is 14,500. You know from experience that