Chapter 8 Bond Valuations Bond Value = PV of coupons + PV of par Bond Value = PV annuity + PV of lump sum As interest rates increase‚ bond prices decrease and vice versa Interest Rate Risk The risk arises for bond owners from fluctuating interest rate‚ depending on how sensitive its
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Topic 8 Retirement Planning 1. Defined benefit pension plans- determines benefit at retirement. The amount that an employer is supposed to give a yr in order to give what is promised is unknown. It aint my fault. 2. Defined contribution plans- the employee contributes a certain percentage for their retirement. You nigga! • Advantages: you see the exact balance at all times‚ easy to move accounts Retirement Ages • Normal retirement age – earliest age you can retire and receive full benefits
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Essentials of Investments‚ by Bodie‚ Kane and Marcus 8th Edition‚ Teaching Notes Chapter 01 - Investments: Background and Issues CHAPTER ONE INVESTMENTS: BACKGROUND AND ISSUES CHAPTER OVERVIEW The purpose of this book is to a) help students in their own investing and b) pursue a career in the investments industry. To help accomplish these goals Part 1 of the text (Chapters 1through 4) introduces students to the different investment types‚ the markets in which the securities trade
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Investopedia “Any debt instrument that can be bought or sold between two parties and has basic terms defined‚ such as notional amount (amount borrowed)‚ interest rate and maturity/renewal date. Debt securities include government bonds‚ corporate bonds‚ CDs‚ municipal bonds‚ preferred stock‚ collateralized securities (such as CDOs‚ CMOs‚ GNMAs) and zero-coupon securities. The interest rate on a debt security is largely determined by the perceived repayment ability of the borrower; higher risks of
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asset (asset group) exceeds its fair value”. In order to determine if the impairment exist in the case‚ we will have to compare the carrying amount with the fair value of the assets. In regards to the municipal bounds‚ its amortized cost‚ $8‚500‚000 exceeds its fair value‚ $7‚500‚000. And corporate bonds’ amortized cost‚ $8‚300‚000 also exceeds its fair value‚ $6‚800‚000. Therefore‚ the impairments have occurred. In addition‚ according to ASC 320-10-35-33B‚ if an entity does not intend to sell the
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after taxes from pension plans and $1500 after taxes from Social Security. Unfortunately our monthly living expenses are $15‚000. Our social obligations preclude further economics. We have $1‚000‚000 invested in high grade‚ tax free municipal bond mutual fund. The return of the fund is 3.5% per year. We plan to make annual withdrawals from the mutual fund to cover the difference between our pension and SSA income and living expenses. (15 points)
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Improving the Office Layout of Bay’s Municipal Hall Montecillo‚ Ma. Nissa Oncinian‚ Dianne Karisse Taay‚ Cielo Mae Torres‚ Dana Kris Villanueva‚ Nelgee Abstract Layout should be flexible and dynamic. There are layout strategies which can be used for developing economic and good layout. Office layout was analyzed in this study to determine the positioning of the departments for a better flow of materials and information in the system. Alternatives such as the use of Manual CORELAP‚ POM
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OTHER PEOPLE’S MONEY by Louis D. Brandeis [pic] Cover illustration of Harper’s Weekly‚ November 29‚ 1913 by James Montgomery Flagg In 1912‚ Woodrow Wilson campaigned for President using many Progressive ideas about strengthening the economy: banking reform‚ tariff reduction and the elimination of monopolies and trusts. The consolidation of these ideas became known as the New Freedom. After Wilson’s election‚ Louis Brandeis (who was responsible for many of Wilson’s ideas in the first
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Econ 252 Spring 2011 Final Exam Econ 252 - Financial Markets Professor Robert Shiller Spring 2011 Professor Robert Shiller Final Exam Instructions: • • • • • • • • The exam consists of a total of twelve pages including this coversheet. There are two parts to this exam. In Part I‚ answer any sixteen of the twenty questions‚ five minutes each. The total for Part I is 80 minutes. In Part II‚ answer all seven questions. The total for Part II is 70 minutes.
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Finance Final Study Guide FIN 331 – Moser – Study Guide for Exam 1 – Spring 2011 Important Concepts * Forms of Business Organization * Proprietorship- an unincorporated business owned by one individual * Partnership- legal arrangement between two or more people who decide to do business together * Advantages * Ease of formation * Subject to few regulations * No corporate income taxes * Disadvantages * Limited life
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