interest payments are made semiannually

1. A bond has 5 years to maturity and has a YTM of 8%. Its par value is $1,000. Its semiannual coupons are $50. What is the bonds current market price? (Show workings)

2. A bond currently sells for $1,030 even though it has a par of $1,000. It was issued two years ago and had a maturity of 10 years. The coupon rate is 7% and the interest payments are made semiannually. What is its YTM? (Show workings)

3. If you were a manager of a company, which of the three right side components of the DuPont Identity would you want to increase and which would you want to decrease, other things being equal? Give a specific example for how to do that for each of the three.

4. A stock has just paid a dividend and will pay a dividend of $3.00 in a year. The dividend will stay constant for the rest of time. The return on equity for similar stocks is 14%. What is P0? (Show workings)

5. A stock has just paid a dividend and has declared an annual dividend of $2.00 to be paid one year from today. The dividend is expected to grow at a 5% annual rate. The return on equity for similar stocks is 12%. What is P0? (Show workings)

6. Using examples, explain the difference between systematic risk and nonsystematic risk. Explain why the distinction is important for both investors and issuers of stock.

7. A company has 30 million shares outstanding trading for $8 per share. It also has $90 million in outstanding debt. If its equity cost of capital is 15%, and its debt cost of capital is 9%, and its effective corporate tax rate is 40%, what is its weighted average cost of capital? (Show workings)

8. What is the difference between capital structure and capital budgeting? Explain and give an example of a capital structure decision and an example of a capital budgeting decision.

9. What is the Cash Conversion Cycle (CCC)? Name the components of the CCC and explain why the CCC is important to business.

 

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future business ventures

Create a 1,050-word report, and include the following:

Explain the relationship between risk and return
Identify an example of risk and return.
Explain which is more risky bonds or common stocks.
Explain how understanding risk and return will help you in future business ventures.
Format your assignment consistent with APA guidelines

Create a 1,050-word report, and include the following:

  • Explain the relationship between risk and return
  • Identify an example of risk and return.
  • Explain which is more risky bonds or common stocks.
  • Explain how understanding risk and return will help you in future business ventures.

Format your assignment consistent with APA guidelines

 

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american sources

A formal introduction.
Discussion of the five generalizations from the findings in this study relating to managing earnings. Note: Do not simply restate the generalizations. You are being asked to discuss each in the context of professional experiences or examples given in the case itself.
Discussion of management’s ability to manage earnings in the long term given the operational manipulations discussed in the case.
2-3 pages long
APA format
3-5 american sources

  1. A formal introduction.
  2. Discussion of the five generalizations from the findings in this study relating to managing earnings. Note: Do not simply restate the generalizations. You are being asked to discuss each in the context of professional experiences or examples given in the case itself.
  3. Discussion of management’s ability to manage earnings in the long term given the operational manipulations discussed in the case.
  4. 2-3 pages long
  5. APA format
  6. 3-5 american sources

 

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including the cover and reference pages

Identify and discuss how an enterprise management system integrates operations management and financial management within the context of an existing and verifiable multinational company.
Explain why many enterprise management systems have failed to yield expected benefits.
2-3 pages in length, not including the cover and reference pages.
APA format
Cite a minimum of 3-5 sources to support your responses, two of which are academic, peer-reviewed sources. These sources should demonstrate thoughtful consideration of the ideas and concepts that are presented in the course, and provide new thoughts and insights relating directly to this topic.Identify and discuss how an enterprise management system integrates operations management and financial management within the context of an existing and verifiable multinational company.
Explain why many enterprise management systems have failed to yield expected benefits.
2-3 pages in length, not including the cover and reference pages.
APA format
Cite a minimum of 3-5 sources to support your responses, two of which are academic, peer-reviewed sources. These sources should demonstrate thoughtful consideration of the ideas and concepts that are presented in the course, and provide new thoughts and insights relating directly to this topic.

 

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