What are flow variables
Flow variables: Any variable, whose magnitude is evaluated over a time period, is termed as glow variable.
Capital goods: Goods employed in producing other goods are termed as capital goods.
How can we compute a company's cost of capital in emerging nations, particularly when there is no state bond that we could take as a reference?
what can we expanded opportinity set of international finance?
Why classical option pricing with constant volatility required?
Nominal gross domestic product: If GDP of a particular year is estimated on the base of price of similar year, it is termed as nominal GDP.
Is this true that the cost of its equity is zero, if a company does not distribute dividends?
Why can we not compute the required return (Ke) by the Gordon-Shapiro model [P0 = Div0 (1+g) / (Ke – g)] in place of using the CAPM? As we identify the current dividend (Div0) and the current share price (P0), we can acquire the growth rate of the dividend by th
Baldwin Corporation is planning to expand into the business of providing on-demand movies. Baldwin has debt-to-equity ratio of .25, its pretax cost of debt is 9%, and its marginal tax rate is 40%. The Harrington Corporation is already in the on-demand movie business,
Jenny is looking to invest in some 5-year bonds which pay annual coupons of 6.25 % and are presently selling at $912.34. What is the present market yield on these bonds? (Round to the closest Answer.) (1) 9.5% (2) 8.5% (3) 6.5% (4) 7.5%
Explain the model of Heath, Jarrow and Morton regarding tree building or Monte Carlo simulation.
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