Financial literacy

You are a consultant to a mid-sized manufacturing corporation that is considerin

You are a consultant to a mid-sized manufacturing corporation that is considering an investment project. The project requires an initial investment of $100 million and will genera…

You are a consultant who has been approached by a company about to embark on a p

You are a consultant who has been approached by a company about to embark on a project (identify any project of your choice). The client would like to prepare a document to be use…

You are a consultant who has been hired to evaluate a new product line for Marku

You are a consultant who has been hired to evaluate a new product line for Markum Enterprises. The upfront investment required to launch the product line is $5 million. The produc…

You are a consultant who has been hired to evaluate a new product line for Marku

You are a consultant who has been hired to evaluate a new product line for Markum Enterprises. The upfront investment required to launch the product line is $ 6 million. The produ…

You are a consultant who has been hired to evaluate a new product line for Marku

You are a consultant who has been hired to evaluate a new product line for Markum Enterprises. The upfront investment required to launch the product line is $11 million. The produ…

You are a corporate finance analyst at Globe motors which is looking to repurcha

You are a corporate finance analyst at Globe motors which is looking to repurchase some of its outstanding debt. The bond issue pays an annual coupon of 6%, and has a par value = …

You are a credit manager for Second Bank of Terlingua. Your bank is considering

You are a credit manager for Second Bank of Terlingua. Your bank is considering a loan to Arti Choke, a property developer in Terlingua. The structure of the loan is such that Art…

You are a creditor of Mercy Hospital. You are told to focus on only one of the f

You are a creditor of Mercy Hospital. You are told to focus on only one of the following sections of the balance sheets and income statement: current assets, long-term assets, rev…

You are a currency analyst for Morgan Stanley on Wall Street for which you are c

You are a currency analyst for Morgan Stanley on Wall Street for which you are charged with searching for money machines (Arbitrage opportunities). You notice something seems funn…

You are a finance student helping your cousin who owns a Deli / Sandwich Shop. H

You are a finance student helping your cousin who owns a Deli / Sandwich Shop. He is struggling with the decision about what will be the impact if the minimum wage by 2019. He has…

You are a financial advisor to Mr. C Ndhlovu who is considering investing in any

You are a financial advisor to Mr. C Ndhlovu who is considering investing in any one of the following three companies in the same cement industry. He considers them to be equal in…

You are a financial advisor to a U.S. corporation that expects to receive a paym

You are a financial advisor to a U.S. corporation that expects to receive a payment of 40 million Japanese yen in 180 days for goods exported to Japan. The current spot rate is 10…

You are a financial advisor whose client wants stock that pays regular dividends

You are a financial advisor whose client wants stock that pays regular dividends. You advise him to buy income stock. common stock. growth stock preferred stock. You are a financi…

You are a financial advisor. A client approaches you for advice The client has c

You are a financial advisor. A client approaches you for advice The client has constructed his own portfolio and it has an expected return of 8% per annum and an annual return sta…

You are a financial analyst at SilverBaggs, a major investment banking firm. You

You are a financial analyst at SilverBaggs, a major investment banking firm. Your supervisor has just handed you a difficult assignment. You must review the work of an intern, who…

You are a financial analyst at the Jackson Company. The proponents of various id

You are a financial analyst at the Jackson Company. The proponents of various ideas have provided you with business forecasts from which you have provided you with business foreca…

You are a financial analyst for Damon Electronics Company. The director of capit

You are a financial analyst for Damon Electronics Company. The director of capital budgeting has asked you to analyze two proposed capital investments, Projects X and Y. Each proj…

You are a financial analyst for WillyP Financial. You have collected the past mo

You are a financial analyst for WillyP Financial. You have collected the past monthly stock price movements for Intel and Microsoft stocks. Your analysis has produced the followin…

You are a financial analyst for the Ajax Company, which uses about $1 million of

You are a financial analyst for the Ajax Company, which uses about $1 million of inventory per month. The purchasing manager has come to you for help with a buying decision. He ca…

You are a financial analyst for the Brittle Company. The director of capital bud

You are a financial analyst for the Brittle Company. The director of capital budgeting has asked you to analyze two proposed capital investments: Projects X and Y. Each project ha…

You are a financial analyst for the Brittle Company. The director of capital bud

You are a financial analyst for the Brittle Company. The director of capital budgeting has asked you to analyze two proposed capital investments: Projects X and Y. Each project ha…

You are a financial analyst for the Brittle Company. The director of capital bud

You are a financial analyst for the Brittle Company. The director of capital budgeting has asked you to analyze two proposed capital investments: Projects X and Y. Each project ha…

You are a financial analyst for the Hittle Company. The director of capital budg

You are a financial analyst for the Hittle Company. The director of capital budgeting has asked you to analyze two proposed capital investments, Projects X and Y. Each project has…

You are a financial analyst with the U. S.- based MNC Prod & Push, which sells c

You are a financial analyst with the U. S.- based MNC Prod & Push, which sells consumer products around the world. You report directly to the CFO. You have been assigned the t…

You are a financial consultant. Your client owns shares of Tesla, Inc. This corp

You are a financial consultant. Your client owns shares of Tesla, Inc. This corporation has never had a stock split. Write a memo to your client discussing the possibility of a st…

You are a financial manager for the Hittle Company. The director of capital budg

You are a financial manager for the Hittle Company. The director of capital budgeting has asked you to analyze two proposed capital investments, Project X and Y. Each project has …

You are a financial planner. One of your clients is 40 years old and wants to be

You are a financial planner. One of your clients is 40 years old and wants to begin saving for retirement. After giving her the standard reprimand for waiting so long to start sav…

You are a fixed income analyst with ABC Bank. The six-month spot rate is 4% (BEY

You are a fixed income analyst with ABC Bank. The six-month spot rate is 4% (BEY basis). Further, assume the following six-month forward rates (BEY basis) given in the table below…

You are a fleet manager for a metro-area company. You’ve recently discovered tha

You are a fleet manager for a metro-area company. You’ve recently discovered that ten of your company’s vehicles require repairs which will cost an estimated $2,000 each. In consi…

You are a foreign exchange student studying in Switzerland. You are from Austral

You are a foreign exchange student studying in Switzerland. You are from Australia and currently have Australian dollars and some euros to use, so you decide to travel to Great Br…

You are a hedge fund manager with $100 million in assets. You feel you have bett

You are a hedge fund manager with $100 million in assets. You feel you have better insight into the emerging markets than most. You decide to invest all $100 million into a basket…

You are a high-prestige hedge fund manager and thus, you are interested in your

You are a high-prestige hedge fund manager and thus, you are interested in your annual total fee. You have managed a fund with a NAV of $500,000,000 at the start of the year 1. At…

You are a life insurance agent and you recognize there\'s a period of time betwe

You are a life insurance agent and you recognize there's a period of time between when you get an application for insurance from your client and when the application is formally a…

You are a loan officer with Third Texas Bank. Dan Scott owns two successful rest

You are a loan officer with Third Texas Bank. Dan Scott owns two successful restaurants, each of which has applied to your bank for a $250,000 one-year loan for the purpose of ope…

You are a local Ford dealership and you did really well last year. Your dealersh

You are a local Ford dealership and you did really well last year. Your dealership has a net worth of $1,800,000.00. You are going to exceed your $8.5 million dollar sales goal fo…

You are a major grocery chain (Fine Foods R Us) and are now contemplating starti

You are a major grocery chain (Fine Foods R Us) and are now contemplating starting a food truck supply service. You will prepare (pre-cook and then freeze or chill) 'small plates'…

You are a major grocery chain (Fine Foods R Us) and are now contemplating starti

You are a major grocery chain (Fine Foods R Us) and are now contemplating starting a food truck supply service. You will prepare (pre-cook and then freeze or chill) 'small plates'…

You are a major grocery chain (Fine Foods R Us) and are now contemplating starti

You are a major grocery chain (Fine Foods R Us) and are now contemplating starting a food truck supply service. You will prepare (pre-cook and then freeze or chill) 'small plates'…

You are a major grocery chain (Fine Foods R Us) and are now contemplating starti

You are a major grocery chain (Fine Foods R Us) and are now contemplating starting a food truck supply service. You will prepare (pre-cook and then freeze or chill) 'small plates'…

You are a manager at Percolated Fiber, which is considering expanding its operat

You are a manager at Percolated Fiber, which is considering expanding its operations in synthetic fiber manufacturing. Your boss comes into your office, drops aconsultant's report…

You are a manager at Percolated Fiber, which is considering expanding its operat

You are a manager at Percolated Fiber, which is considering expanding its operations in synthetic fiber manufacturing. Your boss comes into your office, drops a consultant's repor…

You are a manager deciding how to distribute future cash flows in a way that wil

You are a manager deciding how to distribute future cash flows in a way that will maximize the value of the firm. Assume the corporate tax rate is 30%, and that the tax rates on d…