Markets Harvard University Working Paper No. 04-26 Agency Costs of Overvalued Equity Michael C. Jensen Harvard Business School; The Monitor Company; Social Science Electronic Publishing (SSEP)‚ In. This paper can be downloaded without charge from the Social Science Research Network Electronic Paper Collection at: http://ssrn.com/abstract=480421 MICHAEL C. JENSEN April 2004 Agency Costs of Overvalued Equity Michael C. Jensen mjensen@hbs.edu Jesse Isidor Straus Professor‚ Emeritus
Premium Stock market Principal-agent problem Financial markets
otivationFM-II Assignment -1 Spring 2013 Cost of Capital Q1: Percy Motors has a target capital structure of 40% debt and 60% equity. The yield to maturity on the company’s outstanding bonds is 9% and the company tax rate is 40%. Percy’s CFO has calculated the company’s WACC as 9.96%. What is the company’s cost of common equity? Q2: Tunney Industries issued preferred stock at a price of $47.50 a share. The issue is expected to pay a constant annual dividend of $3.80 a share. What is the company’s
Premium Dividend yield Weighted average cost of capital Stock
Islamic Equity Mutual Fund Performance in Malaysia: Risk and Return Analysis Nik Maheran Nik Muhammad Universiti Teknologi MARA‚ Kelantan nmaheran@kltn.uitm.edu.my Masliza Mokhtar Universiti Teknologi MARA‚ Kelantan masliza@yahoo.com Abstract Mutual funds in Malaysia have experienced a considerable growth over the last decade in terms of the number of funds offered and the volume of capital managed by unit trust management companies. A higher growth can be expected due to a strong participation
Premium Mutual fund Stock market Stock market index
Material Safety Data Sheet Oxygen Section 1. Chemical product and company identification Product name Supplier : Oxygen : AIRGAS INC.‚ on behalf of its subsidiaries 259 North Radnor-Chester Road Suite 100 Radnor‚ PA 19087-5283 1-610-687-5253 Product use Synonym : Synthetic/Analytical chemistry. : Molecular oxygen; Oxygen molecule; Pure oxygen; O2; Liquid-oxygen-; UN 1072; UN 1073; Dioxygen; Oxygen USP‚ Aviator’s Breathing Oxygen (ABO) : 001043 : 6/16/2011. MSDS # Date
Premium Oxygen Gas
Mark Zuckerberg‚ in full Mark Elliot Zuckerberg (born May 14‚ 1984‚ Dobbs Ferry‚ New York‚ U.S.)‚ American computer programmer who was cofounder and CEO (2004– ) of Facebook‚ a social networking Web site. After attending Phillips Exeter Academy‚ Zuckerberg enrolled at Harvard University in 2002. On February 4‚ 2004‚ he launched thefacebook.com (renamed Facebook in 2005)‚ a directory in which fellow Harvard students entered their own information and photos into a template that he had devised. Within
Premium Facebook Initial public offering Dustin Moskovitz
Introduction Employee assistance programs are often described as a benefit program that is offered by employers. Employee assistance programs most often referred to as EAPs are intended to help employees deal with personal and professional problems that might adversely impact their work performance‚ health‚ and well-being. (Mannion‚ 2004). The following will describe the history of EAPs‚ the main purpose‚ different types of services offered‚ as well as and how fundamental these programs are in order
Premium Employment
LECTURE 8 STOCK VALUATION CLASS QUESTION 8 1. Dividend yield example: If two companies both pay annual dividends of $1 per share‚ but ABC company’s stock is trading at $20 while XYZ company’s stock is trading at $40. In which company would an investor prefer to investment based on its dividend yield? 2. If the stock market is semi-strong efficient‚ which of the following statements is correct? a. All stocks should have the same expected returns; however‚ they may have different realized returns
Premium Stock market Stock
Brand Equity to Customer Loyalty An examination of brand equity leading to customer loyalty in the clothing industry using the Loyalty Ladder model. Abstract Purpose - The aim of this paper is to examine if there is a correlation between brand equity and brand loyalty. The author will research the sources of brand equity for three international clothing companies: Abercrombie & Fitch‚ Marks & Spencer‚ H&M and apply each company to the Loyalty Ladder. Methodology – Secondary literature
Premium Brand Marketing Brand management
INTRODUCTION Gender equity is a set of actions‚ attitudes‚ and assumptions that provide opportunities and create expectations about individuals. In an ideal world‚ men and women would be treated fairly and equally in all matters. However‚ we do not live in an ideal world‚ and men and women have not been treated in this way. Gender equality should be understood as encompassing equality of access to resources‚ power‚ respect‚ and status and standing between women and men. A culture of gender equality
Premium Gender Qualitative research Feminism
Here is an example equality policy‚ from the ACAS handbook: Tackling discrimination and promoting equality – good practice guide for employers Equality and Diversity Policy (Organisation name) is committed to eliminating discrimination and encouraging diversity amongst our workforce. Our aim is that our workforce will be truly representative of all sections of society and each employee feels respected and able to give of their best. To that end the purpose of this policy is to provide equality
Free Employment