variance. This is the level of risk. The higher the number‚ the higher the level of risk.State of economy Probability of state Return on A Return on B Boom .40 30% -5% Bust .60 -10% 25% 100% Expected return E(RA) = .4(.30) + .6(-.10) = .06 = 6% E(RB) = .4(-.10) + .6 (.25) = .13 = 13% Variance Var A = .4(.30-.06)^2 + .6(-.10-.06)^2 = .0384 Var B = .4(-.05-.13)^2 + .6(.25-.13)^2 = .0216 SD A = 19.6% SD B = 14.7% The above shows the expected return and risk of holding an individual stock – either
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The Net Present Value‚ Mergers and Acquisitions Michael D. Black Trident University Module 5 CASE Finance 501: Strategic Corporate Finance Professor: Walter Witham June 15‚ 2012 Net Present Value‚ Mergers and Acquisitions Abstract Financial managers must understand the value of dollars invested today in order to make decisions as to what capital ventures are worth pursuing for business growth. The money a business is willing to invest in new equipment or expansion
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Name Professor Subject Date Global Managerial Economics The small and medium-sized enterprises (SMEs) form a crucial part of the U.S. economy. The SMEs create the most jobs in the country; they target the ordinary Americans for employment thus making them a very important component of the economy. Without the SMEs‚ the economy will bleed millions of jobs‚ adversely affecting the economy. This is the reasoning behind the drive by President Obama to give this sector newly acquired impetus and promote
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TECHNICAL DESCRIPTION LOT-1 PCS-01-005351 A parcel of land (Lot-1‚ Pcs-01-005351‚ being a portion of Lots-165 and 166‚ PLS-1110‚ Alilem Public Land Subd. L.R.C. Rec. No. ___________) situated at Brgy. Poblacion‚ Mun. of Alilem‚ Prov. of Ilocos Sur‚ Island of Luzon. Bounded on the S. along line 1-2 by Guis-it St. (10.00 m. wide); on the W. along line 2-3 by Lot-167‚ PLS-1110; on the N. along line 3-4 by Lot-164‚ PLS-1110 and on the E. along line 4-1 by Lot- 2 of the consolidation and subd. plan
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CIS 105 – Week 8 Day 7 Assignment: Security Systems With the variety of threats to worry about in regards to protecting one’s computer system‚ whether it is for a personal or business computer‚ it is very important to get some type of security protection. There are a lot of options out there in terms of what brand and what level of security an individual is looking for. The best option to protect a computer system from various threats is an all-in-one computer security system‚ such as
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CIS 470 PROJECT PLAN Team: Team A Team Members: Melinda Ahmed Nathan Gruss Daniel McIntyre Catherine Roberts Date: 9/4/11 Project Title: Williams Specialty Company e-Commerce Web Site. WSC Team Leader Daniel McIntyre 1. System Overview Williams Specialty Company‚ a small printing and engraving organization‚ wants a web site developed to enable their customers to enter their order information including but not limited to: Type of job (print or engraving) Media (clothing‚ plague
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FINC6013 Workshop 6 Questions & Solutions Chapter 3 PROBLEMS 6. Intel is scheduled to receive a payment of ¥100‚000‚000 in 90 days from Sony in connection with a shipment of computer chips that Sony is purchasing from Intel. Suppose that the current exchange rate is ¥103/$‚ that analysts are forecasting that the dollar will weaken by 1% over the next 90 days‚ and that the standard deviation of 90-day forecasts of the percentage rate of depreciation of the dollar relative to the yen is
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STUDY OF BEHAVIORAL FINANCE A PROJECT REPORT BATCH: 2010-12 To Dr.Sampada Kapse Program Co-ordinator (PGDM) In partial fulfillment of the requirements of Tolani Institute of Management Studies‚ Adipur For the award of the degree of Post Graduate Diploma in Management [pic] Tolani Institute of Management Studies PB No.11‚ LilashahKutiya Road‚ Adipur – 370 205 (Kachchh). Ph: (02836) 261466‚ 262187 Email: tims@tolani.org‚ www.tolani.org/tims JUNE 2011 acknowledgement
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Basic Finance for Non-Finance Managers As a line manager‚ department head‚ entrepreneur or financier‚ you will at some point find yourself having to analyze a spreadsheet or have some form of financial recording to do as part of your job description. Spreadsheets‚ budgets‚ cash flow projections‚ business statistics‚ figures and the financial side of a business is not just meant for accountancy experts. Many are baffled by balance sheets‚ or confused by the financial statements of a business entity
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you earn if you leave the money invested for 45 years instead of just 40 years? A)$10723.08 B) $11790.90 C)$12441.56 D)$12908.19 E) $13590.93 Question 5 Steve invested $100 two years ago at 10 percent interest. The first year‚ he earned $10 interest on his $100 investment. He reinvested the $10. The second year‚
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