...Ch26-Basic Tools of Finance 1. The future value of a deposit in a savings account will be larger a. the longer a person waits to withdraw the funds. b. the higher the interest rate is. c. the larger the initial deposit is. d. All of the above are correct. 2. Edgar has four savings accounts. Which one has the most in it? a. $100 deposited 1 year ago at an 8% interest rate. b. $100 deposited 2 years ago at a 4% interest rate. c. $100 deposited 4 years ago at a 2% interest rate. d. $100 deposited 8 years ago at a 1% interest rate. 3. Suppose that the price of a bond is equal to the sum of the present value of its future payments. Suppose further that this bond pays $50 in one year and $1,050 in two years. What is the price of the bond if the interest rate is 5 percent? a. $1,050.00 b. $1,045.35 c. $1,000.00 d. $945.35 4. Prospect theory says that a. people should follow their gut feelings and purchase stocks they think have good prospects. b. people will tend to sell off winning investments too quickly and hold onto losing ones too long. c. people tend to be overly pessimistic about developments in the stock market. d. during a speculative bubble most people are thinking that they won’t be able to get out of the market before the bubble bursts. 5. Al, Ralph, and Stan are all intending to retire. Each currently has $1 million in assets. Al will earn 16% interest and retire in two years...
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...Business start-up organiser Table of contents Choose your business name Raise finance & manage your money Understand the special needs of your business sector Set up your premises Set up your operations Promote & sell your product or service Protect your business Set up your IT & e-commerce Set up & register your legal structure Sort out your tax & record keeping Sort out your VAT 2 2 3 3 3 4 5 5 6 6 7 Created by Business Link on 07 May 2010 13:32 You can personalise content from the Business Link website and download it in PDF format. This is a free service Business start-up organiser | Created by Business Link on 07 May 2010 13:32 Ã#¨ Crown copyright 2007 Page 1 Business start-up organiser Based on your answers, here is your list of starting-up tasks, as at 07 May 2010 13:32. Against each task we have listed resources that can help you complete them. *Legal obligation Choose your business name Choose and protect your business name Choose the right name for your business Not started Raise finance & manage your money Choose and run a business bank account Choose and run a business account Examine your finance options Choose the right finance when starting up Use our interactive tool to identify the right finance options for your business Grants: the basics Search our Grants and Support Directory of grants, subsidies and advice Loans and overdrafts Equity finance Use your business plan to get funding Work out how much money you'll need when starting...
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...Finance Analysis Paper Yahoo! Finance Yahoo! Finance is a service from Yahoo that provides financial information in various ways including stock quotes, corporate press releases, financial reports, stock exchange rates as well as popular message boards for discussing a company's forecasts and stock valuations. It holds the title for the top financial news and research website in the United States, with an astounding 23 million visitors in February 2010. It also offers tools for personal finance management. Yahoo! Finance includes similar portals identified to diverse large countries in South America, Europe, and Asia. Yahoo! is one remarkable website that is not only a favorable site for people linked with finance but is fairly easy to navigate. Anyone from experts who are tech-savvy to beginners who are just exploring the world of technology will able to find the most up to date and beneficial information regarding finance and investment with this website. There are many practical tools such as currency calculators, and a finance glossy that will help you uncover the world of finance and even personal investments you may be interested in. This site offers information in personal finance, latest news and of course investing. These sections are then sub-divided into additional categories that will help fulfill your curiosity in finance. Beginners especially will be excited to learn and understand the concepts of the finance market more properly. A few helpful sections beginners...
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...online on a regular basis, and 81% of the ones who managed household finances have banked online at least once in the last couple of months, according to the Pew Research Center, and institution dependent on the Federal Reserve. In the light of this data, we took a look at five financial institution that operate in our area to see what tools are they implanting in order to replicate the procedures and provide our customers with a useful and secure online set of services in the near future. The financial institutions chosen were Wells Fargo, First Citizen Bank, Union Bank, High Country Bank and PNC. Regarding their online services, they seem to be pretty standardized and most of them offer a basic service that includes online access, money transfer, bill Payment with an option to receive alerts regarding movement in your accounts, even Wells Fargo Mobile app allows users to deposit their checks online by taking a picture of it. Besides, all of them have been putting effort to provide a safe environment to do online money transactions in a safe way. On the other hand, these institutions try to promote the use of money management tools, for customers to gain greater control over their personal finance. Wells Fargo’s Money Map, and Money Desktop by High Country Bank are examples of such developments. In parallel to their own management tool, most of them offer support for Quicken and Quickbooks, personal finance and money...
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...simple terms, fiscal administration is the branch of economics that deals with the revenues and expenditures and their impact on the economy. It is the manner of collecting something from the constituents and spending it also for the constituents. And the exact definition according to http://www.wisegeek.com/what-is-fiscal-administration.htm, fiscal administration is the act of managing incoming and outgoing monetary transactions and budgets for governments, educational institutions, nonprofit organizations, and other public service entities. Constituents charge leaders, whether governmental or organizational, with establishing fiscal policy as part of their duties in relation to responsible fiscal administration. Fiscal policies are tools for the development of fiscal planning budgets, based on the receipt of anticipated funding. As fund disbursement in the form of payroll, purchases, or other expenses occur, management reports appropriate accounting information back to organizational leaders. Historical data, future revenue projections, and current budget demands determine needed adjustments. The entire process forms the basis for future fiscal administration decision making. Leaders of government, nonprofits, and other public service entities have a fiduciary responsibility to those who put them in office, individuals better known as constituents. Effectively managing the fiscal administration of an entity contributes to its overall financial health and ability to continue...
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...occurs because a high-risk person is more likely to apply for insurance than a low-risk person is. Moral hazard occurs because people have less incentive to be careful about their risky behavior after they purchase insurance. Gregory, M. (2012). The Basic Tools of Finance. Principles of Economics (7 ed., pp. 573-574). Stanford: Cengage Learning. 2. What is diversification? Does a stockholder get a greater benefit from diversification going from 1 to 10 stocks or going from 100 to 120 stocks? Diversification is the reduction of risk achieved by replacing a single risk with a large number of smaller unrelated risks. A stockholder will get more diversification going from 1 to 10 stocks than from 100 to 120 stocks. Gregory, M. (2012). The Basic Tools of Finance. Principles of Economics (7 ed., pp. 574-575). Stanford: Cengage Learning. 3. Comparing stocks and government bonds, which type of asset has more risk? Which pays a higher average return? Stocks have more risk because their value depends on the future value of the firm. So in return it will always have a higher risk; Stocks will have a higher return with the average of 8 percent a year and bond an average of 3 percent a year. Gregory, M. (2012). The Basic Tools of Finance. Principles of Economics (7 ed., pp. 575-576). Stanford: Cengage Learning 4. Is unemployment typically short term or long term? Explain. Unemployment is typically short term. Most Individuals who become unemployed are able to find them new jobs...
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...POST GRADUATE PROGRAMME IN MANAGEMENT AY 2015-16 TERM: III TITLE OF THE COURSE: FINANCE II CREDITS: 4 Name of the Faculty Arnab Bhattacharya Gaurav Singh Chauhan Kousik Guhathakurta Radha M. Ladkani Faculty Block/ Room No. J BLOCK C-102 A-106 J BLOCK Email Telephone Number arnabb@iimidr.ac.in gauravs@iimidr.ac.in kousikg@iimidr.ac.in; radhal@iimidr.ac.in; 0731-2439589 0731-2439592 0731-2439518 0731-2439698 COURSE DESCRIPTION The second core course in Finance deals with the core corporate finance functions in an applied setting. The participants are exposed to real world corporate finance decisions to be taken up by managers for creating value. Such an exposure is accomplished through a mix of theory and practice. The pedagogy employed reflects a judicious mix of case discussions, lectures and problem solving approach. COURSE OBJECTIVES The objective is to familiarize participants with the three major decision areas of Corporate Finance, viz. the investments, financing and earnings distribution decisions. Subsequently the participants are to be offered an integrated view of the decision areas by discussing the issues in corporate valuations and risk management. The course aims at sharpening the financial decision making skills of the participants. EXPECTED LEARNING OUTCOMES AND ASSOCIATED MEASURES At the end of the course student is expected to accomplish the following learning outcomes. Alignment of Course Learning Outcomes (CLOs)...
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...Finance and Financial Management Finance and financial management encompass numerous business and governmental activities. In the most basic sense, the term finance can be used to describe the activities of a firm attempting to raise capital through the sale of stocks, bonds, or other promissory notes. Similarly, public finance is a term used to describe government capital-raising activities through the issuance of bonds or the imposition of taxes. Financial management can be defined as those business activities undertaken with the goal of maximizing shareholder wealth, utilizing the principles of the time value of money, leverage, diversification, and an investment's expected rate of return versus its risk. Within the discipline of finance, there are three basic components. First, there are financial instruments. These instruments—stocks and bonds—are recorded evidence of obligations on which exchanges of resources are founded. Effective investment management of these financial instruments is a vital part of any organization's financing activities. Second, there are financial markets, which are the mechanisms used to trade the financial instruments. Finally, there are banking and financial institutions, which facilitate the transfer of resources among those buying and selling the financial instruments. In today's business environment, corporate finance addresses issues relating to individual firms. Specifically, the field of corporate finance seeks to determine...
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...management accounting 3 Describe the relevance ,application and limitations of financial ratio analysis with reference to three types of users of financial statement 4 Conclusion 5 1. Introduction. -Finance is one of the most significant elements in order to succeed in business performance. Managers are able to decide ways how they will proceed their business and what extent they will broaden or minimize the scale of their business through various figures of finance. Also, those of things help shareholders to predict organisation's promising. Accounting is a basic tool in figuring out how entity spend asset and how they make a profit or how loss happens. Some specialists such as managers, shareholder, accountants use these information. In accounting, there are some methods of analysing how healthy company's financial statement is. Some types of useful ways will be introduced on this essay and will be explained why accounting and finance is a crucial factors of business. 2 .Describe two principle financial statements(their users ,format, frequency and content) Balance sheet : it is a summary of the financial position of the business. It mainly consists of three factors which are assets, liabilities and equity. There is a basic format about balance sheet - Format of balance sheet ① Assets are made by a business to create future benefits There are some resources included in assets. Cash such as coins and notes has been paid in bank account. Assets...
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...several definitions of behavioural finance exist, there is considerable agreement between them. According to Lintner, “Behavioural finance is the study of how humans interpret and act on information to make informed investment decisions.” Olsen opines that ‘behavioural finance does not try to define ‘rational’ behaviour or label decision making as biased or faulty; it seeks to understand and predict systematic financial market implications of psychological decision processes.’ It should be noted that no unified theory of behavioural finance exists at this time. Behavioural finance is based on research of human and social recognition and emotional tolerance studies to identify and understand incoming economic decisions. Behaviour finance examines recognition and emotional factors influence on the market changes and concentrates on the limited human rationality, explains the psychology effect on the financial activities and argues that financial phenomena can be better explained due to the fact that financial market participants are not rational and their decisions are...
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...calculations ALASTAIR L. DAY Alastair Day has worked in the finance industry for more than 25 years in treasury and marketing functions and was formerly a director of a vendor leasing company specializing in the IT and technology industries. After rapid growth, the directors sold the enterprise to a public company and he established Systematic Finance plc as a consultancy specializing in: • financial modelling – review, design, build and audit • training in financial modelling, corporate finance, leasing and credit analysis on an in-house and public basis • finance and operating lease structuring as a consultant and lessor Alastair is author of a number of books including three published by FT Prentice Hall: Mastering Financial Modelling, Mastering Risk Modelling and The Financial Director’s Guide to Purchase Leasing. Alastair has a degree in Economics and German from London University together with an MBA and is an associate lecturer of finance with the Open University Business School. Excel a practical guide for business calculations Tools enabling managers to carry out financial calculations have evolved in the last 20 years from tables through calculators to programs on PCs and personal organisers. Today, the majority of those in finance have Excel on their desks and increasingly on their laptops or pocket computers. Mastering Financial Mathematics in Microsoft ® Excel provides a comprehensive set of tools and methods to apply Excel to solving mathematical...
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...Page |1 ABOUT US Bdjobs Training has been the biggest professional training house in the country. The tracks of its training programs include Marketing/Sales, IT , Commercial, Finance, Quality & Process, Industrial Engineering, RMG, Banking, HR, Development/NGO, Management Development and so forth. Since its inception, Bdjobs Training has been mentoring the professionals by providing latest industry focused education. BT, in this expedition, engages hundreds of industry experts to ensure quality education to the young entrepreneurs and professionals of the country. BT offers both short (1 or 2 days) and long courses in the form of workshop and certificate training. Also BT offers customized in-house training programs exclusively designed for a group of employees. Customized courses can be provided either at our training facilities or on-site at clients’ location. Our training programs are lively, interactive, and include role-playing and demonstrations of real-life workplace issues and solutions. bdjobstraining.com Page |2 bdjobstraining.com Page |3 TRAINING TRACKS Marketing/ Sales Track • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 1111 Selling Techniques for Excellence 13 Lessons to turn every Company into Fantastic Brands Advance Selling Techniques Art of Pharmaceutical Sales Brand Management–Walking the Talk Branding for Bangladeshi Business Constructive & Modern Leadership Approach in Selling through Team...
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...Introduction to Statistics QTM403 Basic Information Program | BBA 3 (Hons.) | Semester | Fall 2015 | Credit Hours | 3 | Pre requisites (if any) | Mathematics | Resource Person | Iftikhar Hussain | Contact information | ihgrw85@gmail.com | Course Description: Important decisions are rarely made by intuition alone. We need to use the data to develop our insights and to support our analysis. Quantitative analysis includes the tools and techniques with which we seek to replicate reality mathematically and statistically. Statistical Techniques are applied in all the functions of business like Operations, Marketing, HR, Finance etc. The aim of this course is to learn when a technique is appropriate and what it can achieve. The emphasis throughout the course is on concepts and reasoning rather than technical details. You should acquire some basic data analysis skills but most importantly, become a more informed and critical producer and user of business Statistical analyses. Learning Objectives: Ser. # | Course Learning Objectives | Link with Program Learning Objectives | 1 | To understand the basic concepts and principles used in Business Statistics. | To inculcate business knowledge and analytical skills in graduates to think decisively in order to develop innovative solutions to problems in a business environment. | 2 | Organizing qualitative and quantitative data into a frequency table, displaying the data through charts...
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...BUS5AFS ACCOUNTING AND FINANCE FOR SUSTAINABLE VALUE CREATION Topic 2: Principles of Accounting Semester 1, 2014 ACCOUNTING AND FINANCE FOR SUSTAINABLE VALUE CREATION TOPIC 2: PRINCIPLES OF ACCOUNTING La Trobe Business School BUS5AFS: Topic 2 – Principles of Accounting 1 Topic Learning Outcomes 2.1 2.2 2.3 2.4 2.5 Discuss the nature and purpose of accounting. Explain the five basic financial elements of a business. Explain the underlying concepts of recognising and measuring the financial elements. List the four basic financial statements used in business decision making. List the basic tools for analysing financial statements. BUS5AFS: Topic 2 – Principles of Accounting 2 La Trobe Business School Prescribed reading Hill, G. and Martin, T. Principles of Accounting and Finance Pearson Australia, 2014 Chapter 2 La Trobe Business School BUS5AFS: Topic 2 – Principles of Accounting 3 1.1 Discuss the nature and purpose of accounting. PURPOSE OF ACCOUNTING …….. to provide information to permit informed judgments and decisions regarding the allocation of resources, managing & directing those resources, custodianship (stewardship) & mandatory requirements …….. La Trobe Business School BUS5AFS: Topic 2 – Principles of Accounting 4 ACCOUNTING VALUE ADDS • • • • • • Improve quality and reduce costs Improve sharing knowledge Improve supply chain Improve efficiency and effectiveness Improve internal control Improve decision...
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...Whirlpool Finance Organization: Whirlpool Corporation is a leading manufacturer and marketer of major home appliances. It had annual sales of more than $18 billion in 2010 and has 71,000 employees and 67 manufacturing and technology research centres around the world. It employs approximately 1,200 finance professionals in 26 countries on every inhabited continent. The majority work in accounting, finance, and shared-service areas, but there’s also a significant finance talent presence in tax, treasury, audit, enterprise resource planning (ERP), and investor relations. There are also specialists in a variety of areas, including economic, enterprise risk management, real estate, information systems, and product innovation. The company’s general organizational design for finance is to locate talent as close as possible to business activities. Finance talent is found in Whirlpool factories, sales offices, R&D functions, and regional headquarters around the world. Finance directors and VPs often have dual reporting relationships—to their business units as well as the office of the CFO. Because Whirlpool has a significant global presence, a great number of its talent base must have higher-than-average skills in U.S. GAAP, currency management, and IFRS. Aside from a strong emphasis on leadership development and finance technical competence, skills in Six Sigma, innovation, and employee engagement are highly valued Vision: Transform the finance organization’s capabilities at Whirlpool...
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