Financial literacy

You are a manager for Humana Inc., and you are trying to determine the appropria

You are a manager for Humana Inc., and you are trying to determine the appropriate discount rate to use in valuations of average risk project proposals for the company. You have t…

You are a manager for Humana Inc., and you are trying to determine the appropria

You are a manager for Humana Inc., and you are trying to determine the appropriate discount rate to use in valuations of average risk project proposals for the company. You have t…

You are a manager for Humana Inc., and you are trying to determine the appropria

You are a manager for Humana Inc., and you are trying to determine the appropriate discount rate to use in valuations of average risk project proposals for the company You have th…

You are a manager in the audit division at Miller Yates Howarth (MYH), an accoun

You are a manager in the audit division at Miller Yates Howarth (MYH), an accounting firm with offices throughout the major regional centres of NSW and Queensland. Although a medi…

You are a manager of the clinical laboratory in a medical center. The lab is goi

You are a manager of the clinical laboratory in a medical center. The lab is going through an expansion stage and top management has asked you to select and present the rationale …

You are a manager working for an insurance company. Your job entails processing

You are a manager working for an insurance company. Your job entails processing individual claims filed by policyholders. In general, few claims are expensive. Each quarter, you c…

You are a managing partner of a prestigious investment counseling firm that spec

You are a managing partner of a prestigious investment counseling firm that specializes in individual rather than institutional accounts. The firm has developed a national reputat…

You are a managing partner of a prestigious investment counseling firm that spec

You are a managing partner of a prestigious investment counseling firm that specializes in individual rather than institutional accounts. The firm has developed a national reputat…

You are a marketing executive at an Atlanta based Marketing corporation. A clien

You are a marketing executive at an Atlanta based Marketing corporation. A client has come to you and said they would like to take on a marketing project if it will EFFECTIVELY ea…

You are a member of the Finance Dept for Saito Auto, specializing International

You are a member of the Finance Dept for Saito Auto, specializing International Finance. Use the following information to conduct a Money Market Instrument. Remember you are the J…

You are a modest purchasing intern working for this company and you want to show

You are a modest purchasing intern working for this company and you want to show the president that it may be easier to reach the profitability goals by lowering the purchasing ex…

You are a mortgage banker at Home Bank. One customer, Sean, wants to borrow mone

You are a mortgage banker at Home Bank. One customer, Sean, wants to borrow money from your bank to finance his real estate investment project. The price for the real estate asset…

You are a mortgage banker at Home Bank. One customer, Sean, wants to borrow mone

You are a mortgage banker at Home Bank. One customer, Sean, wants to borrow money from your bank to finance his real estate investment project. The price for the real estate asset…

You are a negotiated merger (Firm A) and try to use Value-Based management model

You are a negotiated merger (Firm A) and try to use Value-Based management model to evaluate Firm B on your merger project. Your firm's market value of equity is $10,000 ($10 per …

You are a new Junior Analyst with the Wolverine Co., and you have collected the

You are a new Junior Analyst with the Wolverine Co., and you have collected the following data: The yield on the company's outstanding bonds is 7.75%; its tax rate is 40%; the fir…

You are a new employee in a startup firm. The value of the firm the day you star

You are a new employee in a startup firm. The value of the firm the day you start is $30 million. You get a profit interest of 6%. Five years later you leave the company after bei…

You are a new financial analyst at Allistcr Corp, a large manufacturing firm tha

You are a new financial analyst at Allistcr Corp, a large manufacturing firm that is currently looking into diversification opportunities. The vice president of marketing is parti…

You are a new loan officer with Alpha Mortgage, and the manager of the loan depa

You are a new loan officer with Alpha Mortgage, and the manager of the loan department has just presented a problem to you. He is unable to complete the APR calculation on an adju…

You are a newspaper vendor selling San Pedro Times every morning. Before you get

You are a newspaper vendor selling San Pedro Times every morning. Before you get to work, you go to the printer and buy the day%u2019s paper for $0.25 a copy. You sell a copy of S…

You are a partner of Private Equity Firm, Lion LLC (Acquiring firm) and you have

You are a partner of Private Equity Firm, Lion LLC (Acquiring firm) and you have the following information for the acquisition of the firm, ABC Corp (target firm), which is curren…

You are a partner of Private Equity Firm, Lion LLC (Acquiring firm) and you have

You are a partner of Private Equity Firm, Lion LLC (Acquiring firm) and you have the following information for the acquisition of the firm, ABC Corp (target firm), which is curren…

You are a partner of Private Equity Firm, Lion LLC (Acquiring firm) and you have

You are a partner of Private Equity Firm, Lion LLC (Acquiring firm) and you have the following information for the acquisition of the firm, ABC Corp (target firm), which is curren…

You are a partner of Private Equity Firm, Lion LLC (Acquiring firm) and you have

You are a partner of Private Equity Firm, Lion LLC (Acquiring firm) and you have the following information for the acquisition of the firm, ABC Corp (target firm), which is curren…

You are a portfolio investor and, for simplicity, are investing in only two asse

You are a portfolio investor and, for simplicity, are investing in only two assets. You must invest in one asset(called Asset A) and then choose one additional asset from a choice…

You are a portfolio investor and, for simplicity, are investing in only two asse

You are a portfolio investor and, for simplicity, are investing in only two assets. You must invest in one asset(called Asset A) and then choose one additional asset from a choice…

You are a portfolio investor and, for simplicity, are investing in only two asse

You are a portfolio investor and, for simplicity, are investing in only two assets. You must invest in one asset(called Asset A) and then choose one additional asset from a choice…

You are a portfolio investor and, for simplicity, are investing in only two asse

You are a portfolio investor and, for simplicity, are investing in only two assets. You must invest in one asset(called Asset A) and then choose one additional asset from a choice…

You are a portfolio manager for a $500 million stock mutual fund. The majority o

You are a portfolio manager for a $500 million stock mutual fund. The majority of your research information predicts a downturn in the market soon. However, you remain bullish for…

You are a portfolio manager for the XYZ investment fund. The objective for the f

You are a portfolio manager for the XYZ investment fund. The objective for the fund is to maximize your portfolio returns from the investments on four alternatives. The investment…

You are a portfolio manager who uses options positions to customize the risk pro

You are a portfolio manager who uses options positions to customize the risk profile of your clients. In each case, what strategy is best given your client's objective? a. . Perfo…

You are a portfolio manager who uses options positions to customize the risk pro

You are a portfolio manager who uses options positions to customize the risk profile of your clients. In each case, what strategy is best given your client's objective? . . Perfor…

You are a prominent professional baseball coach who is searching for a new team

You are a prominent professional baseball coach who is searching for a new team to coach. You have been offered several contracts: Chicago: A signing bonus of $2.5M, $3M for the n…

You are a prudent individual who wants to plan for your retirement. You are now

You are a prudent individual who wants to plan for your retirement. You are now 25 and plan to work for the next 40 years. You will retire at 65. Your actuarial tables tell you th…

You are a real estate agent thinking of placing a sign advertising your services

You are a real estate agent thinking of placing a sign advertising your services at a local bus stop. The sign will cost $8,000 and will be posted for one year. You expect that it…

You are a research analyst for a major investment bank and have been asked to ev

You are a research analyst for a major investment bank and have been asked to evaluate three candidates for a takeover and recommend one. You estimate the risk-free rate to be 5% …

You are a risk averse investor. You are willing to add an investment with high v

You are a risk averse investor. You are willing to add an investment with high volatility provided the correlation coefficient of this investment with other stocks in the portfoli…

You are a risk-averse investor who is considering investing in one of two econom

You are a risk-averse investor who is considering investing in one of two economies. The expected return and volatility of all stocks in both economies is the same. In the first e…

You are a senior accountant at a local CPA firm. A client asked you to assist th

You are a senior accountant at a local CPA firm. A client asked you to assist them on preparing a Statement of Cash Flow. They gave you the following journal entry:               …

You are a small employer who has believed in providing top-notch benefits to you

You are a small employer who has believed in providing top-notch benefits to your 250 employees for many years. For the last several years you have provided a wide choice of healt…

You are a small employer who has believed in providing top-notch benefits to you

You are a small employer who has believed in providing top-notch benefits to your 250 employees for many years. For the last several years you have provided a wide choice of healt…

You are a small money manager managing $9,000,000 in assets. Your investment por

You are a small money manager managing $9,000,000 in assets. Your investment portfolio consists of 10% T-bills (with an estimated beta = 0), 15% bonds (with an estimated beta = 0.…

You are a small money manager managing $9,000,000 in assets. Your investment por

You are a small money manager managing $9,000,000 in assets. Your investment portfolio consists of 10% T-bills (with an estimated beta = 0), 15% bonds (with an estimated beta = 0.…

You are a small money manager managing $9,000,000 in assets. Your investment por

You are a small money manager managing $9,000,000 in assets. Your investment portfolio consists of 10% T-bills (with an estimated beta = 0), 15% bonds (with an estimated beta = 0.…

You are a speculator and you expect the price of the stock JP Morgan Chase to de

You are a speculator and you expect the price of the stock JP Morgan Chase to decline in the near future. If your forecast is correct, what combination of options positions would …

You are a systems analyst at Outback Outsourcing, a firm that handles payroll pr

You are a systems analyst at Outback Outsourcing, a firm that handles payroll processing for many large companies. Outback Outsourcing uses a combination of payroll package progra…

You are a trader who trades both puts and calls on Procter and Gamble. Informati

You are a trader who trades both puts and calls on Procter and Gamble. Information about current market conditions is displayed below.   Stock Price            Exercise Price     …

You are a trader who trades both puts and calls on Procter and Gamble. Informati

You are a trader who trades both puts and calls on Procter and Gamble. Information about current market conditions is displayed below. Stock Price            Exercise Price      E…

You are a vice president of a multinational corporation headquartered in North A

You are a vice president of a multinational corporation headquartered in North America. You are asked to visit Latin America to meet with government officials to con- sider a loca…

You are able to obtain a $750,000 loan. Interest rate is 20% per year compounded

You are able to obtain a $750,000 loan. Interest rate is 20% per year compounded monthly. You don't have to start paying until the end of the first month of the third year, with e…

You are about to buy your first home. You will take out a $300,000 mortgage for

You are about to buy your first home. You will take out a $300,000 mortgage for 30 years, monthly payments, with a fixed rate of 6% A) What is your monthly payment? i) How much of…