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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Title: Kinetics: The Rate of a Chemical Reaction Objectives: 1. To study the kinetics of chemical reaction‚ 2 I- + S2 O82- I2 + 2 SO42- . 2. To study the effects of reactant concentration (persulphate‚ S2O82-‚ and iodide‚ I-) and temperature on the rate of chemical reactions. ( i) Study the effect of 0.20M (S2O82-) on the rate of chemical reaction. ( ii) Study the effect of 0.10M (S2O82-) on the rate of chemical reaction. ( iii) Study the effect
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Investigative Quest The purpose of this experiment was to find out how music affects the female human heart rate. Hypothesis My hypothesis is that female resting heart rate will increase as the music tempo increases. If the tempo is slower the heart rate will stay at resting heart rate or decrease. Variables The variables used in this experiment were: • The tempo of the music. • The subject’s heart rate. • The subject’s age. Controls The controls used in this experiment were: • How long the subject
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Introduction The heart is an extremely important organ in the human body‚ and it must be able to adjust the heart rate for when a person is resting or for when a person is running. Heart rate is defined as the number of heartbeats per unit of time‚ usually per minute (Medicine-Net). The heart rate is based on the number of contractions of the ventricles. The pulse is defined as a bulge of an artery from waves of blood that course through the blood vessels each time the heart beats (Medicine-Net)
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INSTRUCTORS MANUAL: MULTINATIONAL FINANCIAL MANAGEMENT‚ 9TH ED. CHAPTER 2 SUGGESTED ANSWERS TO CHAPTER 2 QUESTIONS 1. a. Describe how these three typical transactions should affect present and future exchange rates. Joseph E. Seagram & Sons imports a year’s supply of French champagne. Payment in euros is due immediately. ANSWER. The euro should appreciate relative to the dollar since demand for euros is rising. b. MCI sells a new stock issue to Alcatel‚ the French telecommunications company
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metabolic rate are investigated. Hypothesis: With the information given‚ we tested the effects of given hormones on the body by using virtual rats. We expect to see a greater metabolic rate for the normal rat as opposed to the thyroidectomized rat. The hypox rat is expected to have the lowest metabolic rate. Metabolic rate will increase once thyroxine is injected. TSH will increase the metabolic rate of all the rats with
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Chapter 4 Exchange Rate Determination 1. The value of the Australian dollar (A$) today is $0.73. Yesterday‚ the value of the Australian dollar was $0.69. The Australian dollar _______ by _______%. A) depreciated; 5.80 B) depreciated; 4.00 C) appreciated; 5.80 D) appreciated; 4.00 ANSWER: C SOLUTION: ($0.73 – $0.69)/$0.69 = 5.80% 2. If a currency’s spot rate market is _______‚ its exchange rate is likely to be _______ to a single large purchase or sale
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The three year zero rate is 7% per annum and the four year zero rate is 7.5% pa (both continuously compounded). What is the one year (continuously compounded) forward rate starting in three years’ time? (2 marks) With the formula with continuously compounded‚ = =0.09 =9% The one year forward rate starting in three years’ time is 9% 1. The zero rate curve is flat at 6% pa with semi-annual compounding. What is the value of a FRA where the holder receives interest at the rate of 8% per annum with
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Exchange Rate Determinants in Mogadishu in 2011 Ibrahim Mohamed Ibrahim SIMAD University ibrahimkhaliil@yahoo.com Abstract The purpose of this study was to examine the determinants of the exchange rate this study was set to analyze the Exchange Rate determinates in Somalia in due to 2011. There are two factors that are assumed to have strong relations with exchange. Descriptive and regression analysis was used to draw up the satisfactory conclusion. SOS-1 and SOS-2 were determinants
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heart rate to speed up‚ decrease‚ or stay the same‚ the volume of sound has a high effect on the heart. However‚ if people will let down the volume of sound‚ others would not be mannered by the increase in volume managing to the deadly heart attack. Sound within the community‚ for instance‚ traffic can cause a human’s heart rate of increase. Problem of heartbeat tends to be solved by seeing what kind of sound causes the increase of heart rates to place a termination to increase of heart rate. If
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