Solutions to Lectures on Corporate Finance‚ Second Edition Peter Bossaerts and Bernt Arne Ødegaard 2006 LECTURES ON CORPORATE FINANCE - (Second Edition) © World Scientific Publishing Co. Pte. Ltd. http://www.worldscibooks.com/economics/6188.html Contents 1 Finance 2 Axioms of modern corporate finance 3 On Value Additivity 4 On the Efficient Markets Hypothesis 5 Present Value 6 Capital Budgeting 7 Valuation Under Uncertainty: The CAPM 8 Valuing Risky Cash Flows 9 Introduction to derivatives
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multiple choice questions and 5 work problems. Questions in the multiple choice section will be either concept or calculation questions. The calculation questions will be similar to those in the homework and review. However‚ the concept questions will be related to any topic we have covered in the class. The concept questions in the review are only some sample questions. You should NOT study only topics in the review. For the work problems‚ you need to solve the problems without knowing the possible answers
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growth of the pharmaceutical industry in Vietnam will continue to maintain over 10% / year over the period 2012-2017. At 15 pharmaceutical companies in the sample‚ group’s total assets reached 8‚315 billion‚ total equity reached 4‚947 billion at the end of 2011‚ turnovers of group in 2011 reached 10‚344 billion dong‚ the profit after tax reached 903 billion‚ giving a margin return on average equity was 18.3%. In term of revenue‚ companies have the largest revenue such as Hau Giang‚ Traphaco‚ Domesco
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ANSWERS TO THE END-OF-UNIT TESTS UNIT 2 1.B 2.D 3.A 4.C 5.B 6.D 7.D 8.E 9.E 10.E Notes: 5. I applied the formula (4.16) for PV of annuity but adapted for a frequency different than once a year‚ quarterly instead: r = 0‚055 C = 500 m = 4 T = 25 The result is approx. 27090 pounds which doesn’t appear as a possible answer. I chose the value nearest to that‚ therefore answer B. 6. I calculated the future values of the cash flows as not annuity and as annuity. I really don’t think these
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Student MT480-01: Corporate Finance Unit Nine: Assignment Date Assignment: Complete the following exercises and problems from the textbook. Some problems ask multiple questions; be sure to answer every part of the exercise or problem unless otherwise noted * Chapter 28: Practice Questions 2‚ 10‚ 11‚ and 13 * Chapter 34: Practice Questions 2‚ 3‚ and 7 Chapter 28: 2. Table 28.1 shows the 90-day forward rate on the South African rand. a. Is the dollar at a forward discount
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Chapter 7 Risk and Return Recap - Expected Return and Standard Deviation for single asset and 2-asset Portfolio Probability Return(A) Return(B) Good 0.3 - 0.05 -0.10 OK 0.4 0.10 0.15 Poor 0.3 0.20 Portfolio 0.30 E(R) 8.5% Covariance 0.014177 15.68% 11.91% 0.0153 Corr. 0.0246 9.76% S.D. 10.25% 0.009525 Variance 12% 0.99 EQ 7.2 Expected Return: E(RA) = (0.3) (‐0.05) + (0.4) (0.10) + (0.3) (0
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Score: 90 1. out of 90 points (100%) award: 10 out of 10.00 points Prepare a 2011 balance sheet for Cornell Corp. based on the following information: cash = $143‚000; patents and copyrights = $630‚000; accounts payable = $220‚500; accounts receivable = $115‚000; tangible net fixed assets = $1‚660‚000; inventory = $301‚000; notes payable = $120‚000; accumulated retained earnings = $1‚246‚000; long-term debt = $861‚000. (Be sure to list the accounts in order of their liquidity.) CORNELL COP. Balance
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CHAPTER 3 Valuing Bonds Answers to Problem Sets 1. a. Does not change b. Price falls c. Yield rises. 2. a. If the coupon rate is higher than the yield‚ then investors must be expecting a decline in the capital value of the bond over its remaining life. Thus‚ the bond’s price must be greater than its face value. b. Conversely‚ if the yield is greater than the coupon‚ the price will be below face value and it will rise over the remaining life of the bond. 3.
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MSc. FIN40430 Strategic Finance Dr. Cormac Mac Fhionnlaoich Reflective Paper “Corporate Finance and Product Market Competition” Elchin Karimov – 09261966
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The QuarterlyReviewof Economics and Finance‚Vol. 35‚ Copyright0 1995 Trustees of the Universityof Illinois All rightsof reproductionin any form reserved. ISSN 003%5797 NO. 1‚ Spring‚ 1995‚ pages 7347 Bridging the Theory-Practice Gap in Corporate Finance: A Survey of Chief Financial Officers EMERY A. TRAHAN and LAWRENCE J. GITMAN Northeastern University and San Diego State University The primary objective of this article is to assess general research opinions‚ barriers to using sophisticatedfinancial
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