Finance Assignment
1) Why do you think corporate finance is important to all managers? Describe why a manager needs to understand the characteristics and importance of financial markets, including their liquidity, competitiveness, and efficiency.
2) Explain why money has a time value. Explain how the time value of money (TVM) might possibly impact your life now or in the future. Give an example, from your own experiences if possible, to support your explanation.
3) What is the relationship between risk and return on investment (ROI)? What level of risk are you currently able to accept? What are the factors your decision is based on?
4) Think about a few personal projects you have been involved with in the last year or so. A project could be anything from planning a vacation, building a patio deck, or even mowing the grass or painting a room. Reflect on the capital budgeting you had to do in order to complete these projects. What types of projects required the least detailed and the most detailed analysis?
5) Give an example of a possible agency conflict between inside owners/managers and outside shareholders. What could be done to mitigate this issue?
6) In 2012, Apple issued its first dividend to common stockholders at $0.38 per share. In your opinion, was the decision to pay cash dividends to their shareholders a good decision? Please explain your reasoning.
7) Select a currency other than the U.S. dollar (such as the Euro, Swiss Franc, Yen, or another currency of your choosing), and research the current exchange rate between it and the U.S. dollar. If the chosen currency against the U.S. dollar depreciates, can the U.S. dollar buy more or less of the chosen currency? Explain.
8) How can information you learned in this course be applied to your life and/or work to increase your future success? Based on the company you selected to study for this unit, list and describe three reasons why risk management might increase the value of the firm.
Format your assignment according to the following formatting requirements:
(1) The answer should be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides.
(2) The response also includes a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.
(3) Also include a reference page. The Citations and references should follow APA format. The reference page is not included in the required page length.