• Q : Present value of the winnings....
    Finance Basics :

    What is the present value of the winnings? What is the present value of the winnings, if the first payment comes immediately?

  • Q : Determining higher-interest loan....
    Finance Basics :

    If X Corp. defaults on Bank One's higher-interest loan, can Bank One attach X Corp.'s equipment and inventory?

  • Q : Purpose of bonds....
    Finance Basics :

    Explain in detail the purpose of bonds and how they work. Also, should a company have more debt or more equity in its capital structure? Explain your reasoning.

  • Q : Calculating the present value and the future value....
    Finance Basics :

    Discuss and provide two supporting examples to demonstrate how calculating the Present Value and the Future Value would be helpful for decision making.

  • Q : Behavioral finance case....
    Finance Basics :

    Wal-Mart's situation changed dramatically in 1998. An article appearing in Fortune magazine described Wal-Mart stock as being hot again, and noted that the reason stemmed from earnings. The article

  • Q : Calculating the bond yield to maturity....
    Finance Basics :

    A sausage company just issued a 10-year 12% coupon bond. The face value of the bond is $1,000 and the bond makes semiannual coupon payments. If the bond is trading at $867.25, what is the bond's yie

  • Q : Indirect and direct methods of determining cash flows....
    Finance Basics :

    Compare the indirect and direct methods of determining cash flows from operating activities and tell which method you think provides the reader with the most valuable information?

  • Q : Determining short-term interest rates....
    Finance Basics :

    Use both of Ben Holts examples to illustrate possible speculations. Assume the Blades can borrow either $10 million or baht equivalent of this amount. Furthermore, assume that the following short-t

  • Q : Net present value of the refunding....
    Finance Basics :

    What is the net present value of the refunding? Because these are tax-exempt bonds, taxes are not relevant.

  • Q : What is the maximum price....
    Finance Basics :

    What is the maximum price Oshawa should pay for the machine? Suppose due to economic conditions provincial government is willing to lend Oshawa $100,000 at 3% for 5 years. Interest will be paid each

  • Q : Determining the aftertax return for the year....
    Finance Basics :

    What is your return for the year? Now suppose that dividends are taxed at 15 percent and long-term capital gains (over 11 months) are taxed at 30 percent. What is your aftertax return for the year?

  • Q : Calculating book value per share....
    Finance Basics :

    Hunter Manufacturing Inc.'s December 31, 2009 balance sheet showed total common equity of $2,050,000 and 100,000 shares of stock outstanding. During 2010, Hunter had $250,000 of net income, and it p

  • Q : Expected dollar dividend....
    Finance Basics :

    What is the expected dollar dividend over the next three years? What is the current value of the stock and the expected stock price at the end of each of the next three years?

  • Q : Evaluate call and put options....
    Finance Basics :

    Evaluate call and put options and describe the differences that a put option and a call option have on interest rates futures.

  • Q : Risk of loss and the opportunity for profit....
    Finance Basics :

    Evaluate the risk of loss and the opportunity for profit when traders buy or sell puts and calls.

  • Q : Article regarding cost of capital or capital structure....
    Finance Basics :

    Summary article regarding cost of capital or capital structure in the healthcare industry. Include its financial management signnificance. Please include reference, source, date and page number if a

  • Q : Article regarding current insurance problems....
    Finance Basics :

    Summary article regarding current insurance problems in the US. Include its finanical management significance. Please include Reference, sourse, date and page number

  • Q : Debt-to-assets ratio....
    Finance Basics :

    Bartley Barstools has an equity multiplier of 1.6, and its assets are financed with some combination of long-term debt and common equity. What is its debt-to-assets ratio? Round your answer to two d

  • Q : Estimating annual rate of return....
    Finance Basics :

    Your goal is to retire 30 years from now and have investments worth $2.5 million at that time. Today, you have $211 in your investment account and plan on adding an additional $10,000 to that accoun

  • Q : Mergers and shareholder value....
    Finance Basics :

    The Chocolate Ice Cream Company and the Vanilla Ice Cream Company have agreed to merge and form Fudge Swirl Consolidated. Both companies are exactly alike except that they are located in different t

  • Q : Amount of checkable deposits after deposit expansion....
    Finance Basics :

    What would be the maximum amount of checkable deposits after deposit expansion, and what would be the money multiplier? How would your answer in (a) change if the reserve requirement had been 9 percen

  • Q : Forward contract with a delivery price....
    Finance Basics :

    The spot price of an investment asset that provides no income is $20 and the risk-free rate for all maturities (with continuous compounding) is 10%. What is the value to the nearest cent of a three-

  • Q : Account of the cost of hedging....
    Finance Basics :

    A gold producer entered into a December futures contracts on March 1 to hedge the sale of gold on November 1. It closed out its position on November 1. After taking account of the cost of hedging, w

  • Q : Use the debt-equity ratio to calculate the wacc....
    Finance Basics :

    Sixx AM Manufacturing has a target debt-equity ratio of .65. Its cost of equity is 15 percent, and its cost of debt is 9 percent. If the tax rate is 35 percent, what is the company's Weighted Averag

  • Q : Money multiplier and the size of the money supply....
    Finance Basics :

    Determine the size of the M1 money multiplier and the size of the money supply. If the ratio of currency in circulation to checkable deposits were to drop 13 percent while the other ratios remained t

©TutorsGlobe All rights reserved 2022-2023.