• Q : Personal auto insurance policy....
    Finance Basics :

    The explanation of coverage and the location of coverage should be in general terms for most auto insurance policies, please do not use only your personal auto insurance policy as your guide for you

  • Q : Mean-variance criteria....
    Finance Basics :

    Using the mean-Variance criteria, identify whether one security dominates or whether there is no dominance for each possible pair of securities.

  • Q : Determine the optimal reorder level....
    Finance Basics :

    Q1. Determine the optimal reorder level. Q2. Determine the expected safety stock. Q3. What salvage value will increase the reorder level to 340 units?

  • Q : Expected return-standard deviation....
    Finance Basics :

    1) If Humanex's portfolio is half Best Candy stock and half Sugar Beet, what are its expected return and standard deviation? Calculate the standard deviation from the portfolio returns in each scena

  • Q : Efficient inventory management....
    Finance Basics :

    Problem 1: Which of the following might be attributed to efficient inventory management?

  • Q : Variance and the standard deviation of the portfolio....
    Finance Basics :

    A portfolio is made up of 75% of stock 1, and 25% of stock 2. Stock 1 has a variance of .08, and stock 2 has a variance of .035. The covariance between the stocks is -.001. Calculate both the varian

  • Q : What is the amount of the loan....
    Finance Basics :

    Problem: A car is to be paid off with a custom-made loan. $6,000 one year from now, $7,000 two years from now, and $5,000 three years from now. If interest rates are 8% what is the amount of the loa

  • Q : What is the annual cost for ordering....
    Finance Basics :

    1) Whenever item X is ordered, what should be the order size? 2) What is the annual cost for ordering item X? 3) What is the annual cost for storing item X?

  • Q : Determine the order quantity and reorder point....
    Finance Basics :

    Because customers generally do not wait for tires but go elsewhere, you decide on a  service level of 98 percent. Assume the demand occurs 365 days per year. Q1. Determine the order quantity Q2

  • Q : Cash flow under the new capital structure....
    Finance Basics :

    Also, how would you figure out the cash flow under the new capital structure if the person keeps all their shares?

  • Q : Comparing two different capital structures....
    Finance Basics :

    Problem: The company is comparing two different capital structures. Plan 1 would result in 2,000 shares of stock and $40,000 in debt and plan 2 would result in 4,000 shares of stock and $20,000 in d

  • Q : Calculate time weighted return....
    Finance Basics :

    Q1. Calculate time weighted return Q2. Calculate internal rate of return.

  • Q : Amortization expense for the patent....
    Finance Basics :

    How much would Lexicon record as amortization expense for this patent for the year ending December 31 , 2005?

  • Q : What is the dol of the firm....
    Finance Basics :

    A). What is the DOL of this firm? B). What is the DFL of this firm? C). What is the DTL of this firm?

  • Q : Estimating risk and return....
    Finance Basics :

    The company has asked me to estimate risk and return involved in the existing portfolio (the correlation is .15). They then asked me to estimate if Swaziland holdings were sold and replaced with ass

  • Q : Accounts payable checks sitting in drawers....
    Finance Basics :

    Problem: You walk into a new job and find that there are hundreds of accounts payable checks sitting in drawers. At this point you have no idea how much cash is available and you must meet a payroll

  • Q : How can isp obtain capital to finance its operations....
    Finance Basics :

    Question 1: ISP Corporation is an Internet service provider. How can ISP obtain capital to finance its operations? Discuss the different options.

  • Q : Company plans to double each annual dividend payment....
    Finance Basics :

    The company plans to double each annual dividend payment for the next 3 years. After that time, they are planning on paying a constant $1.50 per share indefinitely. What is one share of this stock w

  • Q : Low-risk projects and average-risk projects....
    Finance Basics :

    Problem: A company has an equal number of low-risk projects, average-risk projects, and high-risk projects. The company estimates that the overall company's WACC is 12%.

  • Q : Analyzing investment information....
    Finance Basics :

    Given the importance of analysis, you decide to focus Dr. Washington's training in investment analysis about how to gather and analyze investment information, appreciate his own risk profile, and m

  • Q : Firm in terms of sprockets and cogs sold....
    Finance Basics :

    What is the break-even production of the firm in terms of sprockets and cogs sold? Using BE=fixed costs/price-Variable cost per unit I assume with two products you add both prices to make the price

  • Q : Potential costs and benefits to henley manufacturing....
    Finance Basics :

    Question 1: What are the potential costs and benefits to Henley Manufacturing of announcing its sales and earnings goals at the shareholders' meeting?

  • Q : Inventory management and average cash balance....
    Finance Basics :

    Problem: Throughout the course of the year, my various projects will require a total amount of cash of $4,000,000. The interest cost for this requirement is 9.75%, while each transaction costs $100

  • Q : What is the dividend pay-out ratio....
    Finance Basics :

    Problem 1. Net income is $55,000, dividends paid are $8,000; what is the dividend pay-out ratio? Problem 2. You own 200 shares of Easy stock that has a current market price of $25/share. What is the

  • Q : Dow jones industrial average and the nasdaq....
    Finance Basics :

    I saw on the news that the Dow Jones Industrial Average was down 100 points and that the NASDAQ was up 10 points." What exactly are the Dow Jones Industrial Average and the NASDAQ, and how can one be

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