Basic business goals
Explain basic business goals?
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The primary financial goal of the business firm is to maximize the wealth of the firm's owners. If a group of people owns a business firm, the contribution that firm makes to that group's wealth is determined by the market value of that firm.
Illustrates example of Brownian motion?
Suppose today's settlement price on a CME DM futures contract is $0.6080/DM. You have a short position in one contract. Your margin account presently has a balance of $1,700. The next three days' settlement prices are $0.6066, $0.6073, & $0.5989. Compu
What is an option price?
Explain in brief: IOS (investment opportunity schedule). How can IOS (investment opportunity schedule) help financial managers in making business decisions?
What considerations might restrict the extent on which the theory of comparative advantage is realistic?Originally the theory of comparative advantage was advanced by the nineteenth century economist David Ricardo as an explanation for why natio
What is Arbitrage Pricing Theory?
What are the ways to choose the members of the board of directors of a corporation? Who do these board members owe their primary allegiance?
Define the term correct delta with an example?
Explain the differences between foreign bonds & Eurobonds. Also describe why Eurobonds make up the lions share of the international bond market.The two segments of the international bond market are following: foreign bonds & Eurobo
A CD/$ bank trader is at present quoting a small figure bid-ask of 35-40, while the rest of the market is trading at CD1.3436-CD1.3441. What is implied regarding the trader's beliefs by his prices?The trader have to think the Canadian dollar wi
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