Question 1 a. The dollar is presently weak and is expected to strengthen over time. These expectations affect the tendency of U.S investors to invest in foreign securities because the value of U.S dollar decrease will lead to the U.S company get less profit and earn less money. Consequently‚ U.S companies will pay fewer dividends for investors who invest in these companies. So‚ investors will tend to invest in foreign securities where they can get higher dividend. On the other hand‚ a weak currency
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Assignment 1 Q1.) (5 points) $50 today is worth MORE than $50 tomorrow.(Tell True or False) Q2.) $100 invested for 10 years at 12% interest is worth more in FV terms than $200 invested for 10 years at 4% interest. (Tell True or False) Q3.) Shawn wants to buy a new telescope. He estimates that it will take him one year to save the money and that the telescope will cost $200. At an interest rate of 6%‚ how much does Shawn need to set aside today to purchase the telescope in one year? Q4.)Johnny and
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Value vs. Growth Strategy Professor: Dr. M. Kamstra Class: FINE 6500 A Due: November 23‚ 2014 Students: Harivan Jaffer 213882279 Jeremy Foster 207012370 Zefu Chen 213160999 In the traditional finance theories‚ investors are thought to act rationally so as to maximize their return and that emotions and behavior have no real affect on the trading of equities and other investments. However‚ there are ways and strategies that take advantage and prevent some of these cognitive shortcomings
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Introduction The source of finance that is the issue of from where to get funds to start‚ develop or expand a business is very important for the future of the business. Success of business and its operations depends largely on choosing the proper sources of finance and the purposes for which the fund is sought. For this reason study of different available sources‚ their advantages‚ limitations in respect of cost‚ period of time‚ rate of return‚ usability of funds and outcome of the funding repayment
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Financial Plan- Part II Personal Finance Economics plays a role in personal finance. -Describe the role that economics plays in your personal financial plan. Also‚ the use of credit plays a role in a personal financial plan. Describe the advantages and disadvantages of credit and explain how you will use it as part of your financial plan. Specifically address the following required elements: - Explain the role the government plays in personal finance (focus on regulations‚ laws
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Question: IDENTIFY THE SOURCES OF FINANCE AVAILABLE TO A BUSINESS Answer: There are a number of ways of raising finance for a business. The type of finance chosen depends on the nature of the business. Large organisations are able to use a wider variety of finance sources than are smaller ones. Finance is not just needed when starting a new business‚ but you may be required to seek further finance even if you’re business is well established i-e further expansion‚ R&D‚ new product launch
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Chapter 5 Currency Derivatives 1. Kalons‚ Inc. is a U.S.-based MNC that frequently imports raw materials from Canada. Kalons is typically invoiced for these goods in Canadian dollars and is concerned that the Canadian dollar will appreciate in the near future. Which of the following is not an appropriate hedging technique under these circumstances? A) purchase Canadian dollars forward. B) purchase Canadian dollar futures contracts. C) purchase Canadian dollar put options
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II will briefly identify both the domestic policy challenges that Kenya’s fiscal policy-makers must address in coming years as well as the different potential external policy environments within which these policies must be formulated. Section III reviews the Government of Kenya’s (GOK) fiscal policy strategy‚ as broadly embodied in its recently issued long-run perspective--Vision 2030‚ but more concretely in the Medium Term Plan for 2008/09-2012/13 and the Medium-Term Budget Strategy Paper
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The purpose of this paper is to provide an overview of public finance and its philosophy. Public finance is a part of economics and related with those activities‚ which are associated with the payment of cooperative and governmental activities (Gaffney‚ 2008). Public Finance may also be also defined as a science because it deals with a definite and limited field of human knowledge; it admits of an orderly arrangement of its facts and principles and contains many laws of general progress belonging
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Behavioural Finance Petere Dybdahl Hede Behavioural finance is an add-on paradigm of finance‚ which seeks to supplement the standard theories of finance by introducing behavioural aspects to the decision-making process. Behavioural finance deals with individuals and ways of gathering and using information. Martin Sewell Behavioural finance is the study of the influence of psychology on the behavioural of financial practitioners and subsequent effect on markets. Anastasios Konstantinidis
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