EC3314 – Financial Economics Fall 2013 Vinay P NUNDLALL Problem Set 1 Question 1 Explain what is meant by the following: a. A broker holding securities in street name A brokerage account where the customer’s securities and assets are held under the name of the brokerage firm‚ rather than the name of the individual who purchased the security or asset. Although the name on the certificate is not that of the individual‚ they are still listed as the real and beneficial owner and have the rights
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Text Problem Sets A1. (Bond valuation) A $1‚000 face value bond has a remaining maturity of 10 years and a required return of 9%. The bond’s coupon rate is 7.4%. What is the fair value of this bond? Number of years (N) = 10‚ future value (FV) = 1000‚ interest rate (I/YR) = 9 0.074 * 1000 = 74 = PMT or annual payment‚ I then pressed CPT on my financial calculator to compute the price of the bond and then pressed PV or present value. The fair value of the bond is $897.32. Using Cash Flow of
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Problem Set 4 1. What determines whether a financial asset is included in the M1 money supply? Why are interest-earning checkable deposits included in M1‚ whereas interest-earning savings accounts and Treasury bills are not? a. Any financial asset that can be easily changed into physical money is included in the M1 money supply. b. Because checkable deposits are easily changed into physical money‚ they are included in M1; however‚ savings accounts and Treasury bills cannot be‚ due to the fact that
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MCB 150 Lab PROBLEM SET 1 1. The data below were obtained after performance of Ex. 2 as stated in your MCB 150 lab manual. a. Estimate the number of total bacteria‚ actinomycetes‚ fungi and algae per gram (dry weight) of soil collected from the IBS garden pH: 6.0 ODW: 8.6 grams Colony Counts: PDA 10-1: 210‚ 190 AMA 10-4: 125‚ 119 SCA 10-4: 80‚ 62 10-2: 20‚ 34 10-5: 17‚ 29 10-5: 18‚ 2 Algal Medium (no. of + tubes/ no. of inoculated tubes): 10-1: 5/ 5 10-2: 5/ 5 10-3: 3/ 5 10-4:
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ZPH 123 Problem set Forces 1. Two 25.0-N weights are suspended at opposite ends of a rope that passes over a light‚ frictionless pulley. The pulley is attached to a chain that goes to the ceiling. a. What is the tension in the rope? b. What is the tension in the chain? 2. A stockroom worker pushes a box with mass 11.2 kg on a horizontal surface with constant speed of 3.50 m/s. The coefficient of kinetic friction between the box and the surface is 0.20. a. What horizontal force must be applied by
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This paperwork ACC 455 Week 5 Team Assignment Problem Set includes overview of these exercises: C: 9-35 Allocation of Precontribution Gain Solution C: 11-45 Use of Losses by Shareholders Solution C: 10-4 Discussion C:11-47 Problem Post-Termination Loss Use Solution Business - Accounting Complete the problems found in Ch. 9‚ 10‚ 11 of Federal Taxation 2010: Corporations with your Learning Team . C:9-32 Problem – Partnership Income and Basis Adjustments
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Econ 214 Problem Set 5 1. What impact will an unanticipated increase in the money supply have on the real interest rate‚ real output‚ and employment in the short run? How will expansionary monetary policy affect these factors in the long run? Explain. The money supply in an economy is the benchmark by which interest rates are determined. The supply of money is directly tied into the amount of money that can be loaned and borrowed in various capacities. The more money there is to loan
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ASSIGNMENT 1 Busn 521: Managerial Economics This assignment is due on Friday Oct 17th‚ 2014. Problem Set 2 1. Pat and Kris are roommates. They spend most of their time studying (of course)‚ but they leave some time for their favorite activities: making pizza and brewing root beer. Pat takes 4 hours to brew a gallon of root beer and 2 hours to make a pizza. Kris takes 6 hours to brew a gallon of root beer and 4 hours to make a pizza. a. What is each roommate’s opportunity cost of making a pizza
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GMB 713 PROBLEM SET NO. 2 PROBLEM SOLVING: Solve the following problems. Show all pertinent solutions. 1. A car battery dealer is trying to determine which of the brands of car battery he is selling has a longer life span. He conducted an investigation by interview his customers and was able to get the following results: Brand X Brand Y Mean life span 4.5 years 4.9 years Standard deviation
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Problem Set 1 Ben Polak‚ Econ 159a/MGT522a. Four Questions due September 19‚ 2007. 1. Strictly and Weakly Dominated Strategies? What is the de nition of a strictly dominated strategy? What is the de nition of a weakly dominated strategy? Give an example of a two-player game matrix where one player has three strategies‚ one of which is strictly dominated; and the other player has three strategies‚ one of which is weakly (but not strictly) dominated. Indicate the dominated strategies. 2. Iterative
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