Does the equity of shareholders have clear economic meaning
Does the equity of shareholders represents the savings a company has accumulated by the years?
Expert
No. The number that appears in the Equity of Shareholder of a company which was founded several years ago is just a number that balances the balance sheet. This does not have a clear economic meaning.
My Company paid an extremely higher price for the acquisition of other company; the price was recommended through the valuation of an investment bank. Now we have financial problems. So is there any way to make this bank legally responsible for such situation?
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Explain the term Option Trading Strategies?
You have decided to invest 30 percent in X; 30 percent in Y; and 40 percent in Z. Theprobability of the state of the economy is Boom 25%; Normal 60%; and, Bust 15%. The rateof return for stock X is Boom .20; Normal .15; and, Bust .00. The rate of return for stock Y is
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PV of dividends: Cortez, Inc., is expecting to pay out a dividend of $2.50 next year. After that it expects its dividend to grow at 7 percent for the next four years. What is the present value of dividends over the next five-year period if the required rate of return is 10 percent?
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