Financial literacy

1- Use the information in the following stock quote to calculate Abercrombie & F

1- Use the information in the following stock quote to calculate Abercrombie & Fitch’s earnings per share over the last year. (Round your answer to 2 decimal places. (e.g., 32…

1- What are the basic differences between Hayek and Keynes and their economic ph

1- What are the basic differences between Hayek and Keynes and their economic philosophy? 2- What are some ways that Keynes economic philosophy influenced the United States during…

1- What is a “credit risk premium”? 2- What are corporate \"junk bonds\" (also k

1- What is a “credit risk premium”? 2- What are corporate "junk bonds" (also known as "high yield corporate bonds" (HYCB)? What ratings are assigned to junk bonds, as opposed to "…

1- Which creates a STRANGLE? A-Buy two $55 puts, buy one $55 call B-Buy one $55

1- Which creates a STRANGLE? A-Buy two $55 puts, buy one $55 call B-Buy one $55 put, buy one $65 put and sell two $60 puts Buy one $55 put, buy one $65 call C-Sell two $55 puts, b…

1- You founded your firm with a contribution of $855000, receiving 1500000 share

1- You founded your firm with a contribution of $855000, receiving 1500000 shares of stock. Since then, you sold 1500000 stocks to Angel Investors. Now you are considering raising…

1- You purchased a bond with the following characteristics: $1,000 par value 5.5

1- You purchased a bond with the following characteristics: $1,000 par value 5.5% coupon Semiannual payments 18 years to maturity Bond was priced to yield 6%. For the first three …

1- true or false. Trend refers to the upward or downward movement that character

1- true or false. Trend refers to the upward or downward movement that characterizes a time series over time ? 2- Which of the following is most likely a population as opposed to …

1--Kathy and Steve are forming a partnership and thus need to combine their asse

1--Kathy and Steve are forming a partnership and thus need to combine their assets. Kathy is contributing the following assets: $12,500 cash, $1,300 accounts receivable with $200 …

1-1 Define each of the following terms: a. Proprietorship; partnership; corporat

1-1 Define each of the following terms: a. Proprietorship; partnership; corporation; charter; bylaws b. Limit c. Stockholder wealth maximization d. Money market; capital market; s…

1-1: Briefly discuss the purpose and role that each the three principal types of

1-1: Briefly discuss the purpose and role that each the three principal types of financial institutions (depositary, contractual, and investment) play in the U.S. economy. How do …

1-3 10) A$5000 bond with a coupon rate of 52% paid semiannually has ten years to

1-3 10) A$5000 bond with a coupon rate of 52% paid semiannually has ten years to maturity and ayieldL to maturity of 7 If interest rates fall and the yield to maturity decreases b…

1-34 Valuing Inventory and Cost of Goods Sold Crowe Metals, Ltd., had the follow

1-34 Valuing Inventory and Cost of Goods Sold Crowe Metals, Ltd., had the following inventory transactions during the month of March (in British pounds, £): 3/1 beginning inventor…

1-4. Tyler just wrecked his new Nissan, and the accident was his fault. The owne

1-4. Tyler just wrecked his new Nissan, and the accident was his fault. The owner of thc other vehicle got two estimates for the repairs: one was for $803 and the other was for $8…

1-A warrant is an option, and as such it cannot be used as a \"sweetener.\" True

1-A warrant is an option, and as such it cannot be used as a "sweetener." True False                     2- Preferred stock can provide a financing alternative for some firms when…

1-As you increase (decrease) the length of time involved, what happens to the pr

1-As you increase (decrease) the length of time involved, what happens to the present value of an annuity? Explain why. 2-As you decrease (increase) the length of time involved, w…

1-Between 1926 and 2009 the market for small company stocks was riskier than the

1-Between 1926 and 2009 the market for small company stocks was riskier than the market for large company stocks. Over this period small company stocks had returns measured by the…

1-Christian wants to retire in 15 years when he turns 65. Christian wants to hav

1-Christian wants to retire in 15 years when he turns 65. Christian wants to have enough money to replace 75% of his current income less what he expects to receive from Social Sec…

1-Correct Time Inc. sells underwater scuba diving watches for $250 each. The tot

1-Correct Time Inc. sells underwater scuba diving watches for $250 each. The total daily cost associated with the sale of this item today is $250. What is the business’s daily pro…

1-Different borrowers have different risks of bankruptcy, and bankruptcy is cost

1-Different borrowers have different risks of bankruptcy, and bankruptcy is costly to lenders. Therefore, lenders charge higher rates to borrowers judged to be more at risk of goi…

1-Explain the difference between fixed, variable, and semivariable costs. Give a

1-Explain the difference between fixed, variable, and semivariable costs. Give an example of each. 2- Option 1: Sources of Revenue The 2010 HCA 10K report is located within the Se…

1-For home owner insurance policy (HO3), there is a 80% rule. It is actually a c

1-For home owner insurance policy (HO3), there is a 80% rule. It is actually a coinsurance clause applied to the building structures. Explain what it means and how does it work? 2…

1-Garth wants to invest only in Investment grade bonds or better. His strategy i

1-Garth wants to invest only in Investment grade bonds or better. His strategy is to hold the bond until maturity and he wants to earn a YTM of 8% or better. He is offered a bond …

1-Give an example of the type of conflict, whether relationship, task, or proces

1-Give an example of the type of conflict, whether relationship, task, or process and the result of the conflict on the team’s goals and activities. Consider the five methods of c…

1-Given the following cash flows, calculate the payback period: 2- A stock just

1-Given the following cash flows, calculate the payback period: 2- A stock just paid a dividend of D0 = $3.4. The required rate of return is rs = 15.8%, and the constant growth ra…

1-How does compound interest differ from simple interest? 2-What happens to a fu

1-How does compound interest differ from simple interest? 2-What happens to a future value if you increase (decrease) the interest rate? Explain why. 3-What happens to a present v…

1-If someone pays you $500 a year for 5 years at 5% what will it be valued at on

1-If someone pays you $500 a year for 5 years at 5% what will it be valued at on the last payment? 2-If someone pays you $500 a year for 5 years and someone pays you $1800 to take…

1-In a statutory merger, only assets and liabilities shown on the target firm’s

1-In a statutory merger, only assets and liabilities shown on the target firm’s balance sheet automatically transfer to the acquiring firm. True or False 2- Which of the following…

1-In their first model, do Modigliani & Miller believe that capital structure af

1-In their first model, do Modigliani & Miller believe that capital structure affects firm valuation? How about in their second model? Explain what causes the difference betwe…

1-Josh deposits $3,000 into an account paying 4% interest compounded monthly. Wh

1-Josh deposits $3,000 into an account paying 4% interest compounded monthly. What will the account be worth at the end of 23 years? 2-Jamie won $750 in a raffle at school. After …

1-List 3 reasons for diversifying a portfolio via international investing 2. Wha

1-List 3 reasons for diversifying a portfolio via international investing 2. What is the risk factor associated with international investing that potentially can also be viewed as…

1-List and briefly discuss the six steps in the marketing research process. 2-In

1-List and briefly discuss the six steps in the marketing research process. 2-In a short essay, define unstructured questions and discuss at least two advantages and two disadvant…

1-Make a table that shows the following (use Excel): -previous price points and

1-Make a table that shows the following (use Excel): -previous price points and the two proposed price points. -Cost per unit for each price point -Unit sales corresponding to eac…

1-Marcus is writing a persuasive message asking his employees to complete an onl

1-Marcus is writing a persuasive message asking his employees to complete an online company survey. Which of the following suggestions should he follow while writing this message?…

1-Pete and Michelle have big plans for a company they are starting. They plan to

1-Pete and Michelle have big plans for a company they are starting. They plan to have it traded on the New York Stock Exchange. Because of this, which entity formation should they…

1-Poff Industries\' stock currently sells for $120 a share. You own 100 shares o

1-Poff Industries' stock currently sells for $120 a share. You own 100 shares of the stock. The company is contemplating a 2-for-1 stock split. Which of the following best describ…

1-Problem 10-11 Portfolio Beta (LG10-3) You have a portfolio with a beta of 1.83

1-Problem 10-11 Portfolio Beta (LG10-3) You have a portfolio with a beta of 1.83. What will be the new portfolio beta if you keep 91 percent of your money in the old portfolio and…

1-Problem 10-19 Under-/Overvalued Stock (LG10-3) A manager believes his firm wil

1-Problem 10-19 Under-/Overvalued Stock (LG10-3) A manager believes his firm will earn a return of 19.40 percent next year. His firm has a beta of 1.67, the expected return on the…

1-Problem 10-7 CAPM Required Return (LG10-3) Hastings Entertainment has a beta o

1-Problem 10-7 CAPM Required Return (LG10-3) Hastings Entertainment has a beta of 0.51. If the market return is expected to be 16.10 percent and the risk-free rate is 6.10 percent…

1-Projects 1 and 2 have similar outlays, although the patterns of future cash fl

1-Projects 1 and 2 have similar outlays, although the patterns of future cash flows are different. The cash flows as well as the NPV and IRR for the two projects are shown below. …

1-Ratios can tell you quite a bit, and being able to interpret these ratios can

1-Ratios can tell you quite a bit, and being able to interpret these ratios can help businesses in many ways. Not only can these ratios help a business, but from an investing stan…

1-Stock dividends and stock splits should, at least conceptually, have the same

1-Stock dividends and stock splits should, at least conceptually, have the same effect on shareholders' wealth. True False 2-The optimal distribution policy strikes that balance b…

1-TIPS are sound investments for part of your retirement funds because you can l

1-TIPS are sound investments for part of your retirement funds because you can lock in a real rate of return even if the annual inflation rate increases above the currently expect…

1-The Alpha Company has decided to offer credit to their customers during the se

1-The Alpha Company has decided to offer credit to their customers during the second quarter of the year. It is expected that sales are 10,000 units. The average cost of a drive t…

1-The YTM on a bond is the realized return you earn on your investment if you ho

1-The YTM on a bond is the realized return you earn on your investment if you hold it to maturity. If you sell the bond before it matures, your realized return is known as the hol…

1-The cash payback technique is a quick way to calculate a project\'s net presen

1-The cash payback technique is a quick way to calculate a project's net present value.(True or False) 2-The cost of capital is a weighted average of the rates paid on borrowed fu…

1-The correct statement about portfolio performance measurement includes: a-Shar

1-The correct statement about portfolio performance measurement includes: a-Sharpe ratio is always a better measure than Treynor’s ratio when measuring portfolio performance. b-M2…

1-The overriding goal of inventory management is to ensure that the firm never s

1-The overriding goal of inventory management is to ensure that the firm never suffers a stock-out, i.e., never runs out of an inventory item. True False 2- Not taking cash discou…

1-The returns on the common stock of New Image Products are quite cyclical. In a

1-The returns on the common stock of New Image Products are quite cyclical. In a boom economy, the stock is expected to return 32 percent in comparison to 14 percent in a normal e…

1-Which of the following is NOT normally regarded as being a good reason to esta

1-Which of the following is NOT normally regarded as being a good reason to establish an ESOP? a. To enable the firm to borrow at a below-market interest rate. b. To make it easie…

1-Which of the following is not used in the weighted average cost of capital equ

1-Which of the following is not used in the weighted average cost of capital equation? Answer cost of retained earnings weight of debt corporate income tax rate marginal tax rate …