RISK-ADJUSTED DISCOUNT RATES and LIABILITY BETA RUSSELL E. BINGHAM T H E H A R T F O R D FINANCIAL SERVICES G R O U P Table of Contents Page 2 3 5 7 8 11 12 13 14 14 15 16 17 17 18 Subject Abstract 1. Summary 2. Total Return Model 3. After-Tax Discounting 4. Derivation of Risk-Adjusted Discount Rate and Liability Beta Figure l : Baseline Risk / Return Line vs Leverage 5. Liability Beta Figure 2: Equity vs Liability Beta Figure 3: Equity Beta vs Risk-Adjusted Discount Rate (After-Tax) 6. Underwriting
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Despite the sharp decrease in the dropout rate in rural America between the years 1975 and 1993 which essentially closed the gap between the urban and rural dropout rates‚ over 10 percent of rural students still do not finish high school and have difficulty finding gainful employment (e.g.‚ Paasch & Swaim‚ 1995). Graduation is an extremely important milestone in the life of an individual as they prepare for adult life (Paasch & Swaim‚ 1995). For instance‚ high school graduates have a greater chance
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reported the findings of a study on teen suicide rates in Alaska. Using death certificates and U.S. census data to record trends in suicide rates among Alaskan teens ages 14-19‚ it was found that the teen suicide rate was 31.5 per 100‚000 persons each year. The study tested three hypotheses‚ the first being that the overall suicide rate of Alaska teens ages 14-19 during 1979-1993 would vary according to residence‚ gender‚ race‚ and age. Indeed‚ “suicide rates varied up to sixfold by race‚ gender‚ and local
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Effects of SO2 On Fermentation Rates Purpose SO2 is the primary inhibitor for natural microbiological growth in wine. It prevents the browning of juice by inhibiting phenol oxidase activity and kills the natural yeast cells for the utilization of fermentation-controlled commercial Saccharomyce strands (Boulton et al. 1996). SO2 is pH and temperature dependent and can exist as several forms. The bisulfate form (HSO3-) can complex with soluble solids such as anthocyanins and acetaldehydes to become
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export‚ Marshall-Lerner condition‚ J-curve effect International Journal of Global Business‚ 7 (1)‚ 59-76‚ June 2014 60 Introduction Theoretically‚ depreciation of a local currency is good for the export sector‚ ceteris paribus‚ it would increase competitiveness of export goods in foreign markets. On the other hand‚ it would cause higher level of import price. The higher import price could bring inflationary pressure especially those who import a lot of industrial needs‚ energy resources
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There are currently 17% of Caroline County households registered as having no one in the household employed (US Department of Commerce‚ 2015b). Caroline County’s unemployment rate is 7%‚ higher than the state average of 5%. The county’s median household income falls well below the state average‚ $58‚417 and $64‚792 respectively. Over 73% of the employed residents earn $79‚999 or less with the highest percentage of earned wages occurring within the $20‚000-$49‚000 range (US Department of Commerce
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Contemporary Issues Tim E. Croisdale 11th December 2013 Crime Rates: Explanation for the Decline Introduction The United States is marked by criminal justice difficulties. In a nation as diverse as this country‚ it is complex to effectively establish a manner in which to deflect crime. Since the middle of the 20th century the crime rate soared quickly. This held true especially for violent crimes. However‚ since the 1980’s crime rates in the United States have felt a steep decline. According
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relationship between the nominal income per capita and the crime rate? Does the unemployment rate have any impact on the number of crimes? As one can notice‚ there are numerous economic and behavioural theories underlying the subject chosen. In fact‚ assuming the number of police agents is correlated to the number of property crimes‚ it is logical to think that a higher number of police agents will enhance security and help reducing the crime rates. However‚ a relatively large number of police agents can
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Description To investigate the effect on caffeine on heart rate of water fleas and to understand the risk of high level consumption of caffeine to the health of the human circulatory system and nervous system. Preview Diagram 1: Chemical structure of caffeine Image source: http://ismaastricht.wikispaces.com/file/list The images above show the chemical structure of caffeine which has a chemical formula of C8H10N4O2. Caffeine was named by the International Union of Pure and Applied Chemistry
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A brief history of Exchange rate of Bangladesh Since Bangladesh was the part of Pakistan called East Pakistan‚ shared the same currency and trade-policy history as the rest of Pakistan until the liberation of Bangladesh. Bangladeshi taka was created on January 1 1972. Pakistan rupees in circulation remained legal tender until replaced by the taka 1:1 beginning March 4 1972. The taka was set at par with the Indian rupee‚ and fixed to sterling at Tk 18.9677‚ or Tk 7.2797 to the United States dollar
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