stocks‚ there is always the risk of market fluctuations. Stocks can lose value which is definitely a risk considering the concentration of the fund is in stocks. Specific risks of the fund include the management risk. There is a risk that the manager‚ Larry J. Puglia‚ could not manage the fund properly or choose assets that have a chance of facing a downturn‚ all of which would be bad for investors. Other risks concern the damper that the economy has had on the growth of companies‚ especially in other
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Ameritrade: Cost of Capital What factors should Ameritrade Management consider when evaluating the proposed advertising program and technology upgrades? Why? When considering the proposed advertising program and technology upgrades‚ we have to ensure that the project will likely add value to the company‚ so we need to consider the return on investment versus the cost of capital. If the return on investment‚ measured by the net present value and internal rate of return‚ exceeds the cost of capital
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short-term and long-term solvency and market-based performance. Overall‚ Woolworths is performing well (over the two year period in question) in terms of profits and solvency. It has a stable position in the market with a reasonably fair P/E ratio considering its time in the retail industry. Main improvement areas are in efficiency and recommendations as to what could and should be enriched are provided. Other suggestions and recommendations are also pointed out as the analysis progresses. Table
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Introduction I am inspired most by the cognitive bias and the risk control of the decision- making while learning this course. Having been engaged in the financial industry for years‚ I am deeply aware of the fact that most individual investors tend to perform those bounded rationalities for characteristics of decision-making while making investment‚ but I can’t find out the reason for their existence. After learning this course‚ however‚ I feel suddenly enlightened. The phenomenon that has
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value‚ realisable value‚ value in use and many more. In response to this plethora of measurement techniques it is clear to understand why Hans Hoogervorst believes that “accounting standard-setters come under so much pressure” (Hoogervorst‚ 2012). Considering this stems the first
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Investment Policy at the Hewlett Foundation Purpose of the case To provide students with the opportunity to discuss the design of asset allocation policies for long-term investors‚ the design and implementation of return overlay (or “alpha transport”) strategies‚ evaluation of performance and risk exposure of hedge fund strategies‚ portfolio diversification‚ and investments in non-liquid assets. Objectives After completing this case students will understand: 1. Asset allocation
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vesting terms‚ such that the employees must provide an additional two years of service (awards will no vest on January 1‚ 2011). Immediately prior to the reduction in the exercise price of the awards‚ the fair value was $1 per award. After considering the impact of the January 1‚ 2008‚ re-pricing‚ the fair value was $4 per award. Issue What amount of compensation expense should Murray recognize in the years ended December 31‚ 2008‚ 2009‚ and 2010? Answer 2008 Compensation expense $166
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have considered turning a personal interest or hobby into an official enterprise. Today‚ you have finally decided to turn that hobby into a business but have realized that you need start- up capital from a lender or investor. To obtain funding‚ you need to convince a lender / investor that your business is more than a hobby. You need to demonstrate that you have a firm grasp of your business‚ the accounting practices that impact your business‚ the controls needed to safeguard assets‚ and which accounting
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business in China is not easy and can be frustrating at times. Due to the different political‚ social‚ economic and cultural conditions‚ foreign investors face significant barriers to establishing Internet businesses in China. Disillusioned from their idealism and tired of the bureaucratic red tape and regulatory hassles involved in investing in China‚ many investors have exited the Chinese market. Foreign Investment Law The current Chinese laws and regulations are unclear as to whether foreign investment
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Partnership and corporation Accounting A CASE STUDY OF BASIC CONSIDERATIONS AND FORMATIONS : GOOGLE Google Inc. is an American multinational public corporation invested in search‚ cloud‚ and advertising technologies. Google hosts and develops a number of Internet-based services and products‚ and generates profit primarily from advertising through its AdWords program. Larry Page and Sergey Brin (PIcture) "Together‚ the pair authored what is widely considered their seminal contribution
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