4(B) investigate and compare investment options, including stocks, bonds, annuities, certificates of deposit, and retirement plans I Can state costs and benifits of credit cards and mortgages. Write a few sentences on what you know and what you might learn

Q: What is FDI? Explain it and give example 3 companies (which are the FDI in China)

A: FDI stands for "Foreign Direct Investment" and refers to an investment made by a company or…

Q: Why is the total cost of bringing a general cash offer to the market lower than an IPO

A: Initial Public Offering (IPO) is the sale of stock by a company for the first time. Under this…

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A: Net Present Value is also known as NPV. It is a capital budgeting techniques which help in decision…

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A: The sustainable growth rate (SGR) is the maximum possible growth rate that a company can achieve…

Q: You are given the following information on a Company - ROAop = 10%, tc = 30% and rd = 5% if D/EV =…

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Q: Discuss the various factors which influence the choice of dividend policy among firms

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Q: What is the present value of an annuity of $4000 received at the beginning of each year for the…

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Q: Sales Forecast using Weighted Moving Average 1. Given the following, determine the expected sales on…

A: The weighted moving average is a methodology that weights the preceding values in accordance with…

Q: William North has just inherited $1,066,000 which he would like to use as part of his retirement…

A: Money received today is worth more than money that will be due at some point in the future. The…

Q: A project that provides annual cash flows of $2,500 for 10 years costs $10,000 today. At a required…

A: NPV. Net present value (NPV)   is calculated by deducting initial investment from present value of…

Q: How much must be invested at the beginning of each year at 6%, compounded annually, to pay off a…

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A: Free cash flow are very important in valuation of business because cash expenses are very important…

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Q: The market risk premium for next period is 8.40% and the risk-free rate is 2.50%. Stock Z has a beta…

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Q: Why do users of derivatives need to be careful relate to silicon valley bank

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A: Inventory is very important in business and keeping sufficient inventory is necessary but keeping…

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Q: Linda

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Q: Identify and explain three different dividend policies.

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Q: Consider the following information for a period of years: Long-term government bonds Long-term…

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A: Deprecation is that amount which is incurred due to wear & tear and usage of the assets It is…

Q: An investor wants to be able to buy 4% more goods and services in the future in order to induce her…

A: Real Rate = 4% Inflation Rate = 2% (Because the price is expected to rise)

Q: the

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Q: 1550 0.072 0.018

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Q: These statements are proper to the budgeting process except A It is part of management's…

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Loanable Funds Theory

The loanable funds theory is a neoclassical theory that determines the interest rate where the demand for loanable investments and supply of loanable funds intersect. To determine the interest rate, this theory employs linear regression and a demand curve. At the equilibrium point, demand for borrowings and demand for the issuance of borrowing funds are inextricably linked. This point of equilibrium should equalize demand and the supply of money available for borrowing.