------------------------------------------------- FINC5001 Capital Market and Corporate Finance ------------------------------------------------- Workshop 5 – Capital Budgeting II 1. Basic Concepts Review a) In applying Net Present Value‚ what factors do we include‚ and what factors do we ignore? Use cash flows not accounting income Ignore * sunk costs * financing costs Include * opportunity costs * side effects * working capital * taxation * inflation 2. Practice
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229.07 Therefore the total cost today of your children’s college expense will be the addition of the 2 = $72‚326.88 This is the present value of my annual savings‚ which are an annuity‚ so to get the amount I am supposed to save each year would be: PV=72‚326.88 N=15 I=5.5 CPT PMT = 7‚205.6 57. Calculating Annuity Values: Bilbo Baggins wants to save money to meet three objectives. First‚ he would like to be able to retire 30 years from now with retirement income
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invested at 8 percent‚ what will the annual savings be? Assume the bank fee will be $2‚000 per month. 2. St. Luke’s Convalescent Center has $200‚000 in surplus funds that it wishes to invest in marketable securities. If transaction costs to buy and sell the securities are $2‚200 and the securities will be held for three months‚ what required annual yield must be earned before the investment makes economic sense? 3. Your firm is considering the following three alternative bank loans for $1‚000
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SOCIAL NETWORKING AND ITS IMPACT ON VALUES Social Networking – Boon or Bane to the Society Presented by : Miss Pragya Sharma Abstract Social networking is no doubt a revolution in the current times. The social networking sites have taken over in our lives. It not just keeps people connected ‚ but it has its other gifts too. Keeping people informed is the foremost of the many boons of social networking
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First of all‚ we know that the sun and wind energy are the most advance alternative energy. Today‚ mankind are beginning to look for energy that will support their life for the next century. So I could not think other than sun and wind energy as the best alternative energy resources‚ however it still needs a lot of development. The sun radiates vast amount of energy‚ which nourishes all life on earth and is the driving force behind the planets weather patterns and other natural cycles. In order
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AWANG INDRA S. / 107835010 BEYOND TESTS: ALTERNATIVES IN ASSESSMENT This chapter tries to discuss alternative in assessment and the problems found in alternative in assessments. Performance Based Assessment Performance based assessment implies productive‚ observable skills‚ such as speaking and writing of content valid tasks. According to O’malley and Valdez Pierce (1996)‚ the characteristics of performance assessment are 1) students make a constructed response‚ 2) They engage in higher order
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Evaluating Fiscal Policy Alternatives simulation Principles of Macroeconomics Evaluating Fiscal Policy Alternatives simulation Introduction Fiscal policy is whenever the government changes government spending or taxation as a means of influencing the market economy. This change takes place to stimulate or to restrain inflation. Fiscal policy is the manipulation of trends in the economy by the government. The content of this paper will discuss the effects of the changes in fiscal policy
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Trekking Traditional and Alternative Therapies Introduction About 14 kilometers from Baguio city lays the intersection of the Ambalanga River and Tolbing Creek‚ people plunge in to the thermal waters from the Level 1300 produced by the Benguet Corporation. Roughly a dozen of mini resorts in the Poblacion of Itogon‚ Benguet attract tourists to experience the effects of these hot pools to refresh and/or benefit from its therapeutic effects. Examples of these effects include muscle relaxation
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| Abstract This document is concerned with the relationship between the financial crisis and fair value accounting. Its purpose is to make an understanding of the strengths and limitations of fair value accounting. The report also gives some examples of fair value accounting measures used in several Australian companies. In this report‚ City Weat Water LTD and JB HI-FI LTD are used to explain that. Introduction With the modern transportation and communication technology development‚ in the industrial
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------------------------------------------------- Are There Any Realistic Alternatives To Oil? While energy cannot be created or destroyed‚ it can be transformed between types. The main sources of energy on Earth are the fossil fuels‚ including coal‚ natural gas‚ and oil‚ and all of these are nonrenewable resources. Each of these were produced over a period of millions of years under the surface of the Earth‚ and it is not possible to renew these supplies. The main uses for the energy obtained
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