...Islamic finance A brief summary ------------------------------------------------- Islamic Finance One of the most innovative trends in our Islamic world is our Islamic banking system. This industry is growing in manner that lead most of the large conventional banks like J.P.Morgan and MorganStanly to open divisions concerned with Islamic finance products. According to Middle East newspaper, Middle-East Newspaper (30/05/2008) there are around 300 Islamic banks around the world ,130 of them are in GCC countries. Global Trader (19/07/2011) This industry has grown from $ 150 million in 1990, to around $ 1 trillion. Moreover, Islamic banking sectors currently holding more than $ 1.3 trillion in Assets. ABNA (31/03/2012) Most of those assets are located in Malaysia, Saudi Arabia, Iran and Sudan. banking operations are based on three fundamental Principles: * Prohibition of Riba * Prohibition of Gharar * Principles of Islamic Share'a This chapter would insight more on these three philosophy and going to explain each them in details. ------------------------------------------------- Riba Riba can be defined as “any Contractual increase above what is required”. It can be divided into two main points: 1. Ribba Al Nassiah: Riba that is related to Time ( e.g. If you did not pay on time there will be an penalty to pay with the debt) 2. Ribba Al Fadhel: which is related to unequally exchange of commodities that was mention by the prophet...
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...Msc Finance & Investment Core Course I: Corporate Finance & Value Creation Lecture 1 3 Modigliani & Miller (1958) ‘The Cost of Capital, Corporation Finance and the Theory of Investment’ 3 Modigliani & Miller 2 6 Modigliani and Miller 3 7 Modigliani & Miller – 1958 4 12 Fama & French (1998) ‘Taxes, Financing Decisions, and Firm Value’ 18 FAMA FRENCH 2 20 Fama & French 3 21 Fama & French – 1998 4 22 Graham (2000) ‘How Big Are the Tax Benefits of Debt?’ 25 GRAHAM (2000) 2 28 Graham 3 29 How big are the tax benefits of debt? John Graham – 2002 4 29 Lecture 2 32 Myers (1984) ‘The Capital Structure Puzzle’ 32 MYERS (1984) The Capital Structure Puzzle 2 36 Myers 3 39 The capital structure puzzle Myers – 1984 4 40 Andrade & Kaplan (1998) ‘How Costly is Financial (Not Economic) Distress? Evidence from Highly Leveraged Transactions that Became Distress’ 44 Kaplan 2 46 Andrade & Kaplan (1998) 3 51 Andrade & Kaplan – 1998 4 52 Lecture 3 56 Myers & Maljuf (1984) ‘Corporate Financing and Investment Decisions when Firms have Information that Investors Do Not Have’ 56 Myers and Majluf 2 61 Myers & Mailuf (1984) 3 66 Myers & Majluf – 1984 4 68 Frank & Goyal (2007) ‘Trade-off and Pecking Order Theories of Debt 74 Frank, Murray and Goyal, Vidhan 2 75 Frank & Goyal (2007) 3 83 Trade-off and pecking order theories of debt Frank & Goyal – 2007 4 85 Lecture 4 92 Ross (1977) ‘The Determination of Financial Structure: the Incentive-Signaling Approach’ 92 ROSS (1977)...
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...Kursnotierung Direkt: Heimwährung / Fremdwährung Indirekt: Fremdwährung / Heimwährung Bidpreis: Ankaufs-/Geldkurs Askpreis: Verkaufspreis/Briefkurs Bid-/Ask Spread (%) = Crossrates Bid → Bid, Ask Ask → Ask Bid !"#!!"# !"# fairen Kurs). Erfolge werden mit einem Konto verrechnet. Initial Margin: Preis den Vertrag einzugehen Maintenance Margin: Untergrenze, wenn Guthaben darunter à Margin Call Währungsoption Bezugsverhältnis (Ratio) Ratio Optionen für 1 Einheit zum @Ausübungspreis (Strike) Briefkurs/Kaufpreis (Callprämie) Black und Scholes ! = !"#$%&'%(#, ! = !"#ü!"#$%&'()% ! = !"#$%&", ! − ! = !"#$%&'()"*$ ! = !"#$%&'(#). ! = !"#"$%|!"#$%& ! = ! ∗ ! !! − ! ∗ !!! !!! ∗ !(!! ) !! = (!" ! ! Paritätsbeziehungen !! − !! ! + !! !"#$ !"##$%$&'"() !"#$%&!""#$% !! − !! ! + !! !"#$%&'(")*'## International Fisher Effect Rendite im In- = Rendite im Ausland !! ! + !! ! = !! ! + !! ! Zinsparität !! − !! ! − !! = 1 + !! !! Währungsrisiken Accounting Exposure: Erfolg bei Umwandlung von Bilanz in Heimwährung Transaction Exposure: Einfluss der WK auf zukünftige vertragliche Verpflichtungen Operating Exposure: Einfluss der WK auf zukünftige Zahlungsstöme (operative Cashflows) Economic Exposure: Operating Exposure Transaction + IRP !!,! − !! !! !"#$%&'#ä!"#$ IFE ! !". PPP !! − !! !! !"#$%"&'()%*")ä!"#$%!& Terminverträge Fwd. Bid < Fwd. Ask à Prämie (addieren) Fwd. Bid > Fwd. Ask à Discount (subtrahieren) Swap Rate ( Annualisierte...
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...HAWAWINI – CHAP11. Managers need to make two major decisions: A – What investments to take; B – How to finance it; A company that decide to finance its projects with external funds, maybe fi nd itself in difficult situation to pay its debts (excessive borrowing). Managers will be under pressure to make decisions that may not be in the best interest of shareholders – example: sell of value –creating assets; Conversely, a firm with too little debt may pass up the opportunity to reduce its tax payments and increase its value through tax savings. The firm’s optimal capital structure is the debt ratio that maximizes the market value of the firm’s assets. We have to analyze how a change in firm’s debt ratio affects: 1 – Profitability, measured with earnings per share (EPS); 2 – Market value of its assets; 3 – Share price; 4 – Cost of capital. Example: 100% equity finance Example: Borrow $100M @ 10% and repurchase of 1M shares EPS increases, but firm’s value remains the same. MM Theorem – capital structure does not increase firm’s value (in a world without taxes and costs of financial distress). This is explained by risk, any gain in EPS is offset by higher risks company faces by taking debt. In the example above, shareholders would be better off with leverage, though company’s management might think it is riskier to do it. So shareholder can replicate leverage on his personal account, by borrowing and buying new shares. * Annual tax shield: Tc x Kd x D ...
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...4/11/2016 Purdue OWL Welcome to the Purdue OWL This page is brought to you by the OWL at Purdue (https://owl.english.purdue.edu/). When printing this page, you must include the entire legal notice at bottom. Contributors:Elyssa Tardiff, Allen Brizee. Summary: This resource describes why outlines are useful, what types of outlines exist, suggestions for developing effective outlines, and how outlines can be used as an invention strategy for writing. Four Main Components for Effective Outlines Ideally, you should follow the four suggestions presented here to create an effective outline. When creating a topic outline, follow these two rules for capitalization: For firstlevel heads, present the information using all uppercase letters; and for secondary and tertiary items, use upper and lowercase letters. The examples are taken from the Sample Outline handout. Parallelism—How do I accomplish this? Each heading and subheading should preserve parallel structure. If the first heading is a verb, the second heading should be a verb. Example: I. CHOOSE DESIRED COLLEGES II. PREPARE APPLICATION ("Choose" and "Prepare" are both verbs. The present tense of the verb is usually the preferred form for an outline.) Coordination—How do I accomplish this? All the information contained in Heading 1 should have the same significance as the information contained in Heading 2. The same goes for the subheadings (which should be less significant than the headings)...
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.... Introduction – You need to outline to your CEO the aim of report, the issue in focus (a quick summary from your brief), what management functions /theories are going to be covered, and how the issue is going to be addressed. 2. Defining and framing the Issue –You need to identify the underlying reasons why the issue has arisen in the first place (the ‘why’? question). As part of this, you will need to frame the issue in relation to the current practices with management functions (including supporting theory/theories) that may have contributed to the issue. You should include some consideration of any relevant environmental factors (internal/external) that may have influenced the issue. 3. Addressing the Issue – You need to show how you will address the underlying reasons that have contributed to the issue by outlining changes to the existing practices with the identified management functions (the ‘how’? question). Your arguments need to be supported with reference to theory/theories that endorse the new approach. 4. Conclusion – You need to provide a summary and evaluation of the key findings of the report. You may choose to identify some limitations and/or assumptions associated with the findings that reader of the report should be aware of. 5. Recommendations – You need to provide no less than two and no more than three recommendations on the courses of action that the business ‘should’ undertake. These recommendations should clearly and succinctly outline a suggested...
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...Westminster International University in Tashkent, Academic year 2013-14, Semester 1 Module name Personal Development CW weighting 40% Submission deadline TW12-13 Sem.One CW format (individual/group) Individual CW number and title CW 2 Oral presentation CW checks the learning outcomes 1- prepare documents about themselves, reflecting the personal development of a student (such as a portfolio, an action plan); 2- set goals for further improvement based on individual reflective learning; 4- communicate in writing and orally; 6- deliver a presentation Oral Presentation You will need to prepare an individual oral presentation. The Oral Presentation task will test your ability to communicate information in oral form supporting it with visual aids such as Power Point slides, posters, etc. The presentations will take place in TW 12-13 of semester one. Each presentation will last 5-6 minutes. It will consist of an introduction, the main body and a conclusion and will be followed by questions from the audience. You will be assessed on 1. quality of the content, 2. ability to structure the material, 3. interaction with the audience using body language and eye contact and dealing with questions appropriately 4. quality of visual aids. Prepare a presentation which is based on the topic “My personal learning from research on Mass Media in Uzbekistan” You need to follow the steps below: 1 Westminster International University in Tashkent, Academic year 2013-14, Semester...
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...results to be attained, not how they are to achieve them. CDRs use orders to provide direction and guidance that focus the forces activities on the achievement of the main objective, set priorities, allocate resources, and influence the situation. 6. Accept prudent risk – a deliberate exposure to potential injury or loss when the commander judges the outcome in terms of mission accomplishment as worth the cost. PRESENTATION OUTLINE / SLIDES A. Intro, purpose, references, procedure/outline 1. Greeting (poised and confident) 2. Purpose (BLUF) – relevant, focused, clear, concise, stating thesis 3. References (current and meaningful) 4. Procedure and outline, logical, posted or embedded throughout the brief B. Quick summary of events leading to battle. C. Analysis of mission command from one side of the battle – four of the 6 principles of mission command D. Quick description of the battles outcome on how the mission affected that outcome. E. Significance of this analysis. 1. Para B-E body of Mission Analysis paper 2....
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...The audio summary is a new product for the market. These is no direct competitor because we are the only audio summary in the market currently. However, the competitions are still existed since there are substitutes for our product. The substitutes include document summary and video review for textbooks. It is obvious that there are many different documental summary for textbooks in the market right now. For example, Koofers Notes is a website that allowed students to upload these course materials for others students, but the materials are delayed and unorganized. It has hundreds relative files for one course, and many of them are insignificant. It will take a great amount of time for students to find the information they want. In addition,...
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...Consulting Case Memo -- Outline Executive Summary While this section appears first, it should actually be the last thing you write. * The executive summary should be no more than one page. * Executive summaries are not “introductions.” They do not provide background. * Everything discussed in the executive summary should be explained in greater detail in the body of the memo. * If the only thing someone reads is your executive summary, your reader should have a good understanding of the problem, your proposal, the most important cost(s), and the most important benefit(s). Problem Statement Identify the problem in business terms. State clearly why the owner, president, or CEO should care about addressing the problem you’ve identified. Proposed Solution Identify the one most important action the company or organization needs to take to address the problem. Be as specific as possible in describing your solution. Costs of the Proposal Be as inclusive as possible when thinking about costs. Consider things like opportunity costs and the impact of the proposed change on the organization’s culture in addition to the more obvious financial costs. Identify every possible objection to your proposal. Why hasn’t the company already taken this step? The quickest way to have your recommendation rejected is to hear an objection to which you must reply, “I hadn’t thought of that.” Benefits of the Proposal How will your specific proposal address the problem you’ve...
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...Author name [Pick the date] Include who you prepared the paper for, who prepared the paper, and date submitted. [Type the abstract of the document here. The abstract is typically a short summary of the contents of the document. Type the abstract of the document here. The abstract is typically a short summary of the contents of the document.] Table of Contents 1. Executive Summary. 1 2. Introduction. 1 III. Review of Literature. 1 1. Analysis. 1 2. Recommendations. 1 3. Summary and Conclusions. 1 VII. Appendix x. 1 VIII. References. 1 List the main ideas and section of your paper and the pages in which they are located. The illustrations should be included separately. Make sure that you have page numbers in your paper and list the page number(s) in the table of contents for the page where the appropriate section starts. Helpful Notes: Prepare an outline of your paper before you go forward. The outline is due at the end of Week 5 – which is also the first draft of your paper. Complete a first draft and then go back to edit, evaluate, and make any changes required. You can use example like graphs, diagrams, photographs, flowcharts, maps, drawings, etc. to help clarify and support the written part of your report. I. Executive Summary Use a header titled with the name of your project. Explain what you found, how you researched your topic, and what you...
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...3/17/14 Document- Letter of transmittal (one page = D) D- Table of contents D- Executive Summary Introduction (background & scope)+ Findings + Conclucluions (and/ or recommendations) + (+ IFC =D or more) D- References Letter of transmittal -Authorization (Dr Zlack) -Preview of report & conclusion -Goodwill closing Table of Contents __________ …… 2 ___________...... 3 Align the contents with the numbers correctly. That’s the hardest part. Executive Summary -An “abstract” of report (search academic abstract) Introduction -purpose (problem) *-scope & limitations -Preview of the report organization Scope= What we did do (in the research) Limitations= what we did not do (….) Rules for Graphs * Must be introduced in the text ( in the paragraphs) ----- as you can see from figure 5 see graph 3 * - must be title * must have a legend Speech- Delivery Eye Contact 1. Attention 2. Connection (rapport) 3. Credibility * 4. Confidence Don’t mention do not! Always say Didn’t shouldn’t wouldn’t etc. (catch someone lying) 1 look at everyone 2 Refrain from looking at things 3 Do not read Oral Communication Do’s 1 do have sufficient volume 2 Have a conversational pace 3 Do have vocal variety ( do not memorize) Don’ts 1 Don’t apologize 2 Don’t curse Nonverbal -Posture - Gesture -Attire * Professional or plain * No logos (accessories (limited) ) * No Hats ...
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...Good and poor examples of executive summaries This is a GOOD example from an Accounting & Finance assignment. Footnote Executive Summary This report provides an analysis and evaluation of the current and prospective profitability, liquidity and financial stability of Outdoor Equipment Ltd. Methods of analysis include trend, horizontal and vertical analyses as well as ratios such as Debt, Current and Quick ratios. Other calculations include rates of return on Shareholders Equity and Total Assets and earnings per share to name a few. All calculations can be found in the appendices. Results of data analysed show that all ratios are below industry averages. In particular, comparative performance is poor in the areas of profit margins, liquidity, credit control, and inventory management. The report finds the prospects of the company in its current position are not positive. The major areas of weakness require further investigation and remedial action by management.Recommendations discussed include: improving the average collection period for accounts receivable· improving/increasing inventory turnover· reducing prepayments and perhaps increasing inventory levels The report also investigates the fact that the analysis conducted has limitations. Some of the limitations include: forecasting figures are not provided nature and type of company is not known nor the current economic conditions data limitations as not enough information is provided or enough detail...
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...Executive Summary: Organizational Focus & Goals Derron Venerable University of Phoenix HRM/326 MARIBEL HINES September 15, 2014 Introduction The purpose of an Executive Summary is articulate a full report with the least amount of words possible depending on the size and nature of the issue. In most cases executive summaries serve as a report for executives who do not have the time to read the full report; therefore, the summary will give the executive the information that he or she needs to understand the objective, the issue(s), and the plan(s) in place to solve the issue(s). The following summary is focusing on an on-going overtime issue that one of the company’s branches is having. Focus and Goals The current focus at this particular location is to complete the daily task in the fastest most efficient safest way possible. The goals are to minimize or combine the current routes, run the routes from the closet point to the furthest and create a benchmark for each driver to attempt to meet in a safe but efficient manner. The research states that if the routes are done in a sequence form from the closet point to...
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...CHAPTER 2—DESCRIPTIVE STATISTICS: TABULAR AND GRAPHICAL DISPLAYS MULTIPLE CHOICE 1. The minimum number of variables represented in a bar chart is a.|1| b.|2| c.|3| d.|4| ANS: A PTS: 1 2. The minimum number of variables represented in a histogram is a.|1| b.|2| c.|3| d.|4| ANS: A PTS: 1 3. Which of the following graphical methods is most appropriate for categorical data? a.|ogive| b.|pie chart| c.|histogram| d.|scatter diagram| ANS: B PTS: 1 4. In a stem-and-leaf display, a.|a single digit is used to define each stem, and a single digit is used to define each leaf| b.|a single digit is used to define each stem, and one or more digits are used to define each leaf| c.|one or more digits are used to define each stem, and a single digit is used to define each leaf| d.|one or more digits are used to define each stem, and one or more digits are used to define each leaf| ANS: C PTS: 1 5. A graphical method that can be used to show both the rank order and shape of a data set simultaneously is a a.|relative frequency distribution| b.|pie chart| c.|stem-and-leaf display| d.|pivot table| ANS: C PTS: 1 6. The proper way to construct a stem-and-leaf display for the data set {62, 67, 68, 73, 73, 79, 91, 94, 95, 97} is to a.|exclude a stem labeled ‘8’| b.|include a stem labeled ‘8’ and enter no leaves on the stem| c.|include a stem labeled ‘(8)’ and enter no leaves on the stem| d.|include a stem labeled ‘8’ and enter...
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