...However, the company had high earnings, and was consistently increasing revenues over recent years. It is a large-cap growth company in the technology sector and is expected to outperform the emerging markets over the next years. * Strong Financial Position: Cisco has solid fundamentals with consistent growth, high margins, and a strong balance sheet. Its gross profit margin is mostly higher than 60%, and blows away that of the S&P 500 average (around 44%). Since 2009, Cisco has kept increasing sales. It has a very strong balance sheet with more than $50 billion in cash and cash equivalents in 2013, which is higher than the total of debt ($42 billion). Besides, it has a good asset management, which has maintained to keep inventories low over years with an average of 2% of total assets. Further, Cisco commits to return a minimum of 50 percent of its free cash flow to shareholders in the forms of both dividends and share repurchases. Cisco generates a healthy amount of cash of about $10 billion to $12 billion annually in operating cash flow, it will have room to deliver both dividend increases and continue repurchase shares at a significant rate. * Strong Market Position: Cisco has offered six kinds of products and services. Cisco generates 80 percent of its revenues from US and Europe, which are performing strongly. North America was the dominant market, growing 10.7 percent year-over-year. It had a dominant spot in the Ethernet switch market with a 62...
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...was the most significant real asset of U. S. nonfinancial businesses in terms of total value. A) equipment and software B) inventory C) real estate D) trade credit E) marketable securities Answer: C Difficulty: Easy Rationale: See Table 1.4. 2. In 2005, ____________ was the least significant real asset of U. S. nonfinancial businesses in terms of total value. A) equipment and software B) inventory C) real estate D) trade credit E) marketable securities Answer: B Difficulty: Easy Rationale: See Table 1.4. 3. In 2005, ____________ was the least significant liability of U. S. nonfinancial businesses in terms of total value. A) bonds and mortgatges B) bank loans C) inventories D) trade debt E) marketable securities Answer: B Difficulty: Easy Rationale: See Table 1.4. 4. In 2005, ____________ was the most significant financial asset of U. S. nonfinancial businesses in terms of total value. A) cash B) trade credit C) trade debt D) inventory E) marketable securities Answer: B Difficulty: Easy Rationale: See Table 1.4. 5. The material wealth of a society is equal to the sum of _________. A) all financial assets B) all real assets C) all financial and real assets D) all physical assets E) none of the above Answer: B Difficulty: Easy Rationale: Financial assets do not directly contribute the...
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...THE COMPANY AT A GLANCE An introduction: Bajaj electrical Ltd., incorporated in the year 1938, is a mid cap company (having a market cap of Rs 2531.98 cr.) operating in consumer durable sector. The company expertise in lighting, consumer durables, engineering and projects, is promoted by Kamalnayan Bajaj & have its headquarter in Mumbai, Maharashtra. History: The Company was incorporated as Radio Lamp Works Limited under the Indian Companies Act, 1913 as a public company limited by shares, pursuant to a certificate of incorporation dated July 14, 1938. Subsequently the name of the Company was changed to Bajaj Electricals Limited, pursuant to a fresh certificate of incorporation dated October 1, 1960. Company’s manufacturing unit have been accredited with ISO 9001 / 9002 and ISO 14001 certifications for its quality management. Some notable projects of the company include lighting works at the Commonwealth Games stadium and the Bandra Worli Sea Link. The Company caters mainly to the needs of the Indian markets and the export turnover being 0.67% (Previous Year 0.81%) of the total turnover of the Company. There are no reportable geographical segments. All assets are located in India. Management: The company management includes: Shekhar Bajaj Harsh Vardhan Goenka Ashok Jalan V. B. Haribhakti Madhur Bajaj Chairman And Managing Director Director Director Director Director Plant: the company has manufacturing...
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...for travel - Save up for a large purchase such as a car, boat This report uses financial models to present a picture of Jayson current financial situation and illustrations of possible directions Jayson finances may take. Future economic and market conditions are unknown, and will change. The assumptions used are representative of economic and market conditions that could occur, and are designed to promote a discussion of appropriate actions that may need to be taken, now or in the future, to help Jayson manage and maintain Jayson financial situation under changeable conditions. Your Current Situation: You have assets of approximately $839,500. You have liabilities of approximately $160,300. Your net worth is approximately $679,200. Jayson wants to retire at age 65 and May wants to retire at age 65. Jayson now have $371,000 in working assets and are adding $34,900 per year. Jayson wants to retire at age 65 and May wants to retire at age 65. Jayson will need the income until the last life expectancy of age 90. Monthly after-tax income needed at that time is $5,000 (in today's...
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...Chapter 01 The Investment Environment Multiple Choice Questions 1. In 2007, ____________ was the most significant real asset of U.S. households in terms of total value. A. consumer durables B. automobiles C. real estate D. mutual fund shares E. bank loans See Table 1.1. Difficulty: Easy 2. In 2007, ____________ was the least significant financial asset of U.S. households in terms of total value. A. real estate B. mutual fund shares C. debt securities D. life insurance reserves E. pension reserves See Table 1.1. Difficulty: Easy 3. In 2007, ____________ was the most significant asset of U.S. households in terms of total value. A. real estate B. mutual fund shares C. debt securities D. life insurance reserves E. pension reserves See Table 1.1. Difficulty: Easy 4. In 2007, ____________ was the most significant liability of U.S. households in terms of total value. A. credit cards B. mortgages C. bank loans D. student loans E. other debt See Table 1.1. Difficulty: Easy 5. The largest component of domestic net worth in 2007 was ____________. A. non-residential real estate B. residential real estate C. inventories D. consumer durables E. equipment and software See Table 1.2. Difficulty: Moderate 6. In 2007, ____________ was the most significant real asset of U.S. nonfinancial businesses in terms of total value. A. equipment and software B. inventory C. real estate D. trade credit ...
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...Annual Percentage Rate • Visit link on APR on moodle • Find out other links on calculating APR • We will go over math on Thursday • This math will be the math for Test 4 Cash Conversion Cycle -From investopedia.com (3 definitions) • A metric that expresses the length of time, in days, that takes for a company to convert resource inputs into cash flows • The cash conversion cycle attempts to measure the amount of time each net input dollar is tied up in the production and sales process before it is converted into cash through sales to customers. • This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties. -Commercial and industrial loans represent the earliest form of lending that banks varied out in their more than 2000 years of history -close to 1/5 of commercial bank loans loan portfolio is classified as business or C&I loan Short-Term Business Loans • Self-Liquidating Inventory Loans- business loans, usually to support the purchase of inventories, in which the credit is gradually repaid by the borrowing customer as inventory is sold (60-90 days). o Usually related to the borrowers need for short term cash to finance purchases of inventory or cover production costs, the payment of taxes, interest payments on debt, and dividend payments to stock holders. • Working Capital Loans- loans that...
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...ANNAMALAI UNIVERSITY DIRECTORATE OF DISTANCE EDUCATION M.B.A. FIRST YEAR Academic Year : 2015 - 2016 ASSIGNMENT TOPICS This booklet contains assignment topics. Students are asked to write the assignments for EIGHT papers as per instructions. Last date for submission : Last date for submission with late fee ` 300/- : 29-02-2016 15-03-2016 NOTE: 1. Assignments sent after 15-03-2016 will not be evaluated. 2. Assignments should be in the own handwriting of the student concerned and not type-written or printed or photocopied. 3. Assignments should be written on foolscap paper on one side only. 4. All assignments (with Enrolment number marked on the Top right hand corner on all pages) should be put in an envelop with superscription “MBA Assignments” and sent to The Director, Directorate of Distance Education, Annamalai University, Annamalainagar – 608 002 by Registered post. 5. No notice will be taken on assignments which are not properly filled in with Enrolment Number and the Title of the papers. 6. Students should send full set of assignments for all papers. Partial assignments will not be considered. ASSIGNMENT INSTRUCTIONS Write assignments on any TWO topics in each paper out of the FOUR. For each Topic the answer should not exceed 15 – pages. Each assignment carries 25 marks (2 topics). Dr.S.PUGAZHENDHI DIRECTOR 2 1.1 PRINCIPLES OF MANAGEMENT 1. “Planning is looking ahead, and Control is looking back”. Comment. 2. Why do most...
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...Valuing Publicly Traded Equity Securities: The Black & Decker Corporation (BDK) [1] I. Introduction This teaching note describes the valuation of publicly traded equity securities using the Discounted Cash Flow (DCF) and Price/Characteristic (market comparison) approaches, with a specific spreadsheet example for The Black and Decker Corporation. Free cash flow valuation and comparables (comps) are key tools in fundamental analysis, the process of picking stocks with high expected return based on an analysis of the company. In theory, buying stocks of companies that are undervalued in the stock market will produce high returns as other investors slowly realize the company’s true value and quoted share prices increase to match that value. Three basic ideas underlie the application of discounted cash flow (DCF) analysis. First, the value of a company is ultimately derived from the cash that can be extracted from that company, and more cash is preferred to less. Second, cash received in the future is not as valuable as cash received today. Third, risky cash flows are valued less than cash flows known with relative certainty. The process of valuing publicly traded equity using DCF involves three steps. First, condensed financial statements, also called pro-forma statements, are forecasted several years into the future. Second, the forecasted statements are used to calculate free cash flows for the entire firm, which are then discounted by the...
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...Financial Market Cours 1 Le 16/09/2014 Introduction Alexis-Charles-Henri Clérel de Tocqueville (29 July 1805 – 16 April 1859) was a French political thinker and historian best known for his works Democracy in America (appearing in two volumes: 1835 and 1840) and The Old Regime and the Revolution (1856). In both of these, he analyzed the improved living standards and social conditions of individuals, as well as their relationship to the market and state in Western societies. Democracy in America was published after Tocqueville's travels in the United States, and is today considered an early work of sociology and political science. Tocqueville was active in French politics, first under the July Monarchy (1830–1848) and then during the Second Republic (1849–1851) which succeeded the February 1848 Revolution. He retired from political life after Louis Napoléon Bonaparte's 2 December 1851 coup, and thereafter began work on The Old Regime and the Revolution. He argued that the importance of the French Revolution was to continue the process of modernizing and centralizing the French state which had begun under King Louis XIV. The failure of the Revolution came from the inexperience of the deputies who were too wedded to abstract Enlightenment ideals. Tocqueville was a classical liberal who advocated parliamentary government, but was skeptical of the extremes of democracy The work of Alexis de Tocqueville permit to understand how the financial market works...
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...Chapter 1 A modern financial system: an overview The introduction of money and the development of local markets to trade goods were the genesis of the financial system of today. Money is a medium of exchange that facilitates transactions for goods and services. With wealth being accumulated in the form of money, specialised markets developed to enable the efficient transfer of funds from savers (surplus entities) to users of funds (deficit entities). A modern financial system comprises financial institutions, instruments and markets that provide a wide range of financial products and services. Importantly, a financial system encourages accumulated savings which are then available for investment within an economy. Financial assets, or financial instruments, incorporate attributes of risk, return (yield), liquidity and time-pattern of cash flows. Savers are able to satisfy their own personal preferences by choosing various combinations of these attributes. By encouraging savings, and allocating savings to the most efficient users, the financial system has an important role to play in the economic development and growth of a country. A range of different financial institutions has evolved to meet the needs of financial market participants and to support economic growth. Chapters 2 and 3 examine the major types of financial institutions. At this stage the institutions are categorised by the nature of their principal activities. Depository institutions, such as commercial banks, building...
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...that time they only used to manufacture TV and Washing Machines. Then after in 1989-90, they started manufacturing Home Entertainment Systems, Electric Motors & AC. Videocon entered Refrigerators and coolers segment in 1991. In 1995, Videocon started manufacturing Glass shells for CRT and in 1996 it ventured into Kitchen appliances and crude oil segment. In 1998, Videocon started manufacturing Compressors & Compressor Motors. They introduce Colour TV Videocon took over Philips Plant. In 2005, Videocon took over 3 plants of Electrolux India and acquired Thomson CPT. Today, it has evolved into a giant conglomerate with annual revenues of over U$4.1 billion. They have diversified their business in different segments. Now along with Consumer Durables they are also engaged in Oil & Gus, Telecom and Power Sectors. DIRECTOR’S REPORT 1. The Net sales of the company registered an increase of 17.72% over the previous financial year. It increased from Rs. 82,854.24 Million as on September 30, 2007 to Rs. 97,536.Million. Profit after tax amounted to Rs. 8,542.95 Million as against Rs. 8,552.19 for the previous year. This was a difference of Rs. 9.42 Million. 2. Operations of the company in various sectors: A.Consumer Electronics and Home Appliances: The Company consolidated its position in the Business of Consumer Electronics and Home Appliances. During the year, inspite of economic slowdown, the company registered a satisfactory performance due to new technology introduction and...
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...Income Statement 4 2.3 Statement of Changes in Equity 5 3 Oversight of the statement of cash-flows 5 3.1 Cash flow from operating activities 5 3.2 Cash flow from investing activities and the Free cash flow 6 3.3 Cash flow from financing activities 7 4 Selected topics 7 4.1 Segment reporting 7 4.2 Leases 7 4.3 Provisions 7 4.4 Income taxes 8 5 Conclusion 8 Appendix 1: Consolidated Balance Sheet ii Appendix 2: Consolidated Income Statement iii Appendix 3: Consolidated Statement of Comprehensive Income iv Appendix 4: Consolidated Statement of Changes in Equity iv Appendix 5: Consolidated Cash Flow Statement v * Table of Figures Figure 1: Share Performance 1 Figure 2: Composition of Current Assets 3 Figure 3: Composition of Non-current Liabilities 3 Figure 4: Calculation of Operating Income 6 Figure 5: Calculation of Operating Cash Flow 6 Figure 6: Operating segments & Reporting segments 8 * Oversight of the firm and industry Air France, french company, borned in 1933 by the fusion of 4 companies, Air Orient, Air Union, Lignes Farman and C.I.D.N.A. decided to join the 3 of may 2004, KLM, Dutch Airline, to be the first European position for the transport of passenger and to be the first in the world for the fret. Air France KLM group has more than 100000 employees all over the world (source Air France KLM) and is...
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...Marketing Mix Marketing: the process of conceiving ideas, products and services which are attractive to customers. Goal is to avoid pure competition Target market: group of likely consumers for product and service. Attract them with good marketing mix Marketing mix: shaping the combination of the product and approach to maximize customer value Predict tastes and preferences Attempt to understand human behavior- perception shape behavior, learned behavior over time creates expectations Factors influencing decision: culture, personal preference, economic, time available, life style Cast study: starbucks switching from competitive item to non competitive differentiated product Monopolistic competition structure: Many buyers, few large seller with complete product offering Information about product is no longer complete Sellers now offer very different products Market is not influences by one single buyer or seller Resources are free to move, ease of entry and exit How to find potential customer: segmentation Geographic- city or rural, Europe or middle east. Regional foods ex: Walmart: did it in a small town to avoid competition Demographic – age sex income education tech savvy look for major shifts Psychographic- life style, personality ex: goth Behavior- usage, loyalty, repeat purchase activity: ex: wegmans card Direct your product efforts to a particular segment rather than whole market ...
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...Akhter prepared: 11th march 2012 The Business Business Name: Firefly cotton Business Structure: Partnership Business Location: Savar Date Established: 9th March, 2009 Business Owner(s) Name: * Nafisa Anjum Era * Saidul Nahiyan DIP * Jerin Tasnim * Md. Jahidul Islam Relevant Owner Experience: New in business. Products: Cotton The Market Target Market: Our target market is Bedding Store Owners and Mattress companies. They would buy our product because of our product quality. Market Strategy: Our local clients are getting benefit from our services greatly because they get foreign quality goods at very competitive rates and in some cases, less than the local market rates. In addition to that, they get more durable and better quality material compared to the material available in the local markets. Hence, our customers get foreign quality material at or below the local rates of the same. Our services to foreign suppliers have also been appreciated because of our skills. The future Vision Statement: As we are working with garments jhut, it will be a great environmental help. As because of capital shortage we cannot buy spinning machines. We want to expand our business to yarn production later on. Goals: We will finance an experimental section where we will experiment with garments jhut. Finally we want to produce paper from garments jhut. The Finances We intend to make 2,000,000 taka profit in a year. As it is a partnership business, we are...
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...CARPLEX EXECUTIVE SUMMARY Carplex is a prominent car caretaker service provider serving the Mumbai car owners. The Business Carplex will be providing customers with the following services: • Car parking – the customers can station their car with us for a period upto 1month without any hesitance about the safety. The aim is to provide a safe and a clean parking environment to the cars for any period of time. • Car cleansing – various types of cleansing options are available for the cars for. Its a 24 hour service (steam wash, tunnel wash & in-bay wash). • Car accessorising and re-designing – different car automobiles like funky neon lights, wheel cap, car LCD’s etc and also redesigning options are available. • Consultancy – Want to buy a new car but don’t know which to buy? This is is best place to consult. • Also drive-in fast-food joints are located at the ground level for the customers. It’s situated at Dadar. Carplex has no true competitors that are trying to offer a high quality service for a reasonable rate. Most are trying to compete on price alone. Carplex provides a high quality service, both in regards to the core services as well as customer service is all based on their ability to find the best employee. Hiring the best employees and making sure that they are well taken care of ensures that they in turn take care of the customers. Study after study proves that a happy employee is far more likely to provide the highest level of customer service...
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