...Kapitel 1 Normative (prescriptive) accounting theory Inte baserad på empiriska tester (som positive teorier är) utan de är baserade på vad researcher tror ska eller borde inträffa vid särskilda omständigheter. Teorier som föreskriver (prescribe) istället för förklarar (describe) särskilda handlingar kallas för normativa teorier eftersom att dom baseras på normer som researchern som lägger fram teorierna har. T.ex. säger hur vi ska ta till oss och använda redovisningsmetoder. Kapitel 2 Theories of regulation Public interest theory There is the public interest theory of regulation which propose that regulation be introduces to protect the public. It assumes that the regulatory body (usually government) is a neutral arbiter of the public interest and does not let its own self-interest impact on its rule-making processes. “The regulator does its best to regulate so as to maximize social welfare. Consequently, regulation is thought of as a trade-off between the costs of regulation and its social benefits in the form of improved operations of markets”. Regulation put in place to benefit society as a whole rather than vested interests. Regulatory body considered to represent interests of the society in which it operates, rather than private interests of the regulators. Assumes that government is a neutral arbiter. Criticisms of public interest theory Critics question assumptions that economic markets operate inefficiently if unregulated. Question the assumption...
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...Jönköping International Business School Jönköping University B eh avioral F i nance Investors’ Rationality Bachelor Thesis within Finance Authors: Bernéus, Hannes Sandberg, Carl Wahlbeck, David Tutor: Jönköping Österlund, Urban December, 2008 Acknowledgement We would like to thank our tutor Mr. Urban Österlund for his support and guidance. We are also grateful for all valuable comments and insights from our fellow students during seminar sessions. We would also like to present a special thanks to Johan Sandberg at Swedbank Robur and Viktor Östebo at Nordnet. Without Mr. Sandberg’s and Mr. Östebo’s contribution, this thesis would not have been possible to complete. To all the respondents: thank you for your participation! _____________ Hannes Bernéus ____________ Carl Sandberg Jönköping International Business School Date: 2008-12-11 i _____________ David Wahlbeck Bachelor Thesis within Business Administration Title: Authors: Tutor: Date: Subject terms: Behavioral Finance – Investors’ Rationality. Hannes Bernéus, Carl Sandberg, David Wahlbeck Urban Österlund 2008-12-02 Behavioral Finance, Behavioral Economics, Finance, Economic Psychology. Abstract Purpose: The purpose of this thesis is to examine if professional investors are indicating tendencies of irrational behavior when exposed to certain psychological dilemmas related to the financial world. Background: A new field within financial theory emerged...
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...AT&T Stock Analysis Masters of Business Administration Keller Graduate School of Management, 2013 Spring Semester Keller Graduate School of Management Online Table of Contents 1.0 Face Page……………………………………………………………………………….1 2.0 Table of Contents……………………………………………………………………….2 3.0 Introduction………………………………………………………………………….….3 4.0 Company’s Background. ……………………………………………………………….4 5.0 Life Cycle Analysis……………………………………………………………………..4 6.0 An Analysis of Return on Equity……………………………………………………….5 7.0 Projected Future Growth Rate of Earnings……………………………………………..6 8.0 Analysis of Required Rate of Return –CAPM………………………………………….7 9.0 Intrinsic Value (DVT)…………………………………………………………………..8 10.0 Conclusion/Recommendation……………………………………………………..........8 11.0 References………………………………………………………………………………9 3.0 Introduction This literature review seeks to investigate and apply technical analysis measurements AT&T stock that trades on the New York Stock Exchange. With this data then the author will make a buy/sell recommendation. Understanding the importance of Stock analysis and its influence on AT & T Company failures or successes drives this study. AT &T is the leading communications company in the world by revenue. Also, they are the nation largest 4G networks, covering 275 million people. AT&T not only offers innovative smartphones, but AT&T U-verse TV and...
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...AT&T Merging with Comcast Tonya Mealey, Teneisha Bonner, and Richard Chan ECON220-X-1302B-02/Professor Luzius July 14th, 2013 Abstract For our group 5 project, we have collected information about the company AT&T merging with Comcast. In this paper, the industry description introduces the company and explains the history of the company. The supportive argument and the argument against the merger are discussed. Keywords: AT&T, Comcast AT&T Merging with Comcast Initially, Comcast proposed to buy AT&T Broadband for 44.5 billion in assets and 13.5 billion in deficit assumption. AT&T’s committee did not accept the acquisition and Comcast offered to merge with AT&T broadband to establish AT&T Comcast. AT&T assets have been dropping and this coalition would probably help them by letting Comcast, which has a great understanding in the broadband business, work with the many resources AT&T has to present. The merger is set at $72 billion. Comcast thinks the coalition with AT&T will keep them rich and it will get 2.2 million broadband consumers and 22 million co responders, news and entertainment supporters. They are evaluating the merger to decide if the aftermath will be an accomplishment or a downfall (Brinkerhoff, 2010). Industry Description: AT&T, is considered to be a telecommunications industry, and is among the world’s premier voice, video, and data communications companies serving millions of consumers, businesses...
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...our company within viewing purposes? 5. We also provide bundling services, is this something you as a customer like? Data Analysis Approach Data analysis refers to evaluating data using logical reasoning and to examine all of the data provided. There are so many tests that can be used to determine accuracy within a business in providing customers satisfaction through data. Within using the null hypothesis, our company will benefit. Parameter is a previous measurement of the sample of the population. Within the null hypothesis, there is no difference between the parameter and the statistic it is being compared too. Our business would love to use the null hypothesis, because we will not have to compare our customers to any other value. Within customer satisfaction, customers do not like to be compared, when they are paying for services. If we were to comply with the factors using the null...
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...the indenture. c. Call feature - a provision that permits the bond issuer to retire the obligation prior to its maturity. d. Sinking fund - a method of providing for the gradual retirement of a bond issue. The sinking fund requirement can be met by depositing a certain amount of money annually in a sinking fund account. Alternatively, the firm can either purchase a portion of the debt each year in the open market or, if the debt is callable, use a lottery technique to determine which actual bonds will be called and retired each year. e. Conversion feature - a provision that allows the holder to exchange the bond for shares of the company's common stock at the option of the holder. f. Coupon rate - the annual rate of interest paid to bondholders. It is expressed as a percentage of par value. 2. a. Mortgage bond - a debt issue that is secured by specific physical assets of the issuing company. b. Debenture - an unsecured debt issue. The quality of the debt issue depends on the general credit-worthiness of the issuing company. c. Subordinated debenture - an unsecured debt issue that is “junior” to other types of debt. In the event of liquidation or reorganization of the company, claims of subordinated debenture holders are considered only after the claims of unsubordinated debt holders d. Equipment trust certificate - used...
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...“Analysis of AT&T’s Stock” FIN560 - Securities Analysis Index 1. The background of the company 2. AT&T’s Life Cycle Analysis 3. Analysis of Return on Equity 4. The company's projected future growth rate of earnings 5. Analysis of its required rate of return using the CAPM measurement 6. The company’s intrinsic value using the discount valuation techniques 7. Conclusions 8. References 1. AT&T Background AT&T Inc. is an American multinational corporation that provides telecommunications services to consumers, businesses, and other providers worldwide. Founded in 1983 as SBC Communications Inc. and changed its name to AT&T Inc. in November 2005, is considered the leading company in the telecommunication industry by Fortune 500 ranked as the number 11th; Headquartered in Dallas, Texas AT&T Inc. has 256,420 employees. AT&T Inc. common stock is listed on the New York Stock Exchange under the symbol of “T” (NYSE: T) making the company one of the 30 stocks that make up the Dow Jones Industrial Average. It is also a Fortune 500 company ranked the largest communications holding company in the world by revenue of $126,723 millions and by profits $3,944 according to the latest results in 2012. Its direct competitor is Verizon Communications with $110,875 millions in revenue and $2,404 millions in profits, 20% bellow of AT&T. According to its 2011 Annual Report, the company has invested...
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...MCI COMMUNICATIONS CORPORATION Introduction In 1982, the Justice department ordered the separation of ATT into local subsidiaries. MCI was one of the main competitors of AT&T and the impact of this new competition on MCI was uncertain. In this case the financial impact of this increased competition will be analyzed. Analysis of External Financing Needs for MCI from 1983 to 1989 Please see Exhibit 1 and Exhibit 2 MCI’s external needs will keep increasing over the next few years as the operating margins would shrink because of higher competition & higher access charges. In order to increase its market share, MCI would need to continue investing huge capitals in its network. As per exhibit 9 of the case, it is anticipated that MCI will increase its market share to 20 % in the next 6 years. The telecom industry is very capital intensive and in 1983 required $1.15 worth of investment in fixed plant & equipment for each extra $1 of revenue; that is first you have to build the network before you can sign up customers. The operating margin is expected to stabilize at 15% by 1990. But they are expected to vary substantially based on competition. It can go up to 22% or go down to 8%. Types of securities which were issued by MCI (1972-1983) 1. 2. 3. 4. 5. Common Stock Common Stock with warrant Convertible cumulative preferred stock - Cost Around 12.27 Debentures – Cost around 15% Convertible debenture – cost around 10% MCI initially issued equity in 1972 and later it started...
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...MCI COMMUNICATIONS CORPORATION Introduction In 1982, the Justice department ordered the separation of ATT into local subsidiaries. MCI was one of the main competitors of AT&T and the impact of this new competition on MCI was uncertain. In this case the financial impact of this increased competition will be analyzed. Analysis of External Financing Needs for MCI from 1983 to 1989 Please see Exhibit 1 and Exhibit 2 MCI’s external needs will keep increasing over the next few years as the operating margins would shrink because of higher competition & higher access charges. In order to increase its market share, MCI would need to continue investing huge capitals in its network. As per exhibit 9 of the case, it is anticipated that MCI will increase its market share to 20 % in the next 6 years. The telecom industry is very capital intensive and in 1983 required $1.15 worth of investment in fixed plant & equipment for each extra $1 of revenue; that is first you have to build the network before you can sign up customers. The operating margin is expected to stabilize at 15% by 1990. But they are expected to vary substantially based on competition. It can go up to 22% or go down to 8%. Types of securities which were issued by MCI (1972-1983) 1. 2. 3. 4. 5. Common Stock Common Stock with warrant Convertible cumulative preferred stock - Cost Around 12.27 Debentures – Cost around 15% Convertible debenture – cost around 10% MCI initially issued equity in 1972 and later it started...
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...services in the United States and worldwide. Services offered include wireless communications, local exchange services and long-distance services. AT&T operates in four segments: Wireless, Wire line, Advertising Solutions and Other. Its Wireless subsidiaries provide both wireless voice and data communications services across the United States, and through roaming agreements, in a substantial number of foreign countries According to AT&T Wireless SEC filing, On July 12, 2013, AT&T Inc. (“AT&T”) entered into an Agreement and Plan of Merger with Leap Wireless International, Inc. AT&T will acquire Leap in a transaction in which Leap stockholders would receive $15.00 in cash for each outstanding share of Leap’s common stock, plus one non-transferable contingent value right (“CVR”) per share (together, the “Merger Consideration”). AT&T announced on July 23, 2013 that second-quarter 2013 net income attributable to AT&T totaled $3.8 billion, or $0.71 per diluted share, compared to net income attributable to AT&T of $3.9 billion, or $0.66 per diluted share, in the second quarter of 2012. For its second-quarter 2013 revenues were $32.1 billion, up $500 million, or 1.6 percent, from the second-quarter 2012. The increase in revenues reflected higher wireless data and equipment revenues and increased wire line data revenues partially offset by declines in wire line voice and wireless voice and text revenues, as well as from the loss of directory revenues resulting from the second-quarter...
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...“IPad’s” Security Breach BUS 508: Contemporary Business August 16, 2011 Strayer University Dr. Robert L. Kight Assignment 4: iPad’s Security Breach This document will attempt to discuss hacking into a Web site. Is it ever justifiable? The document will create a corporate ethics statement for a computer security firm that would allow or even encourage activities like hacking. The document will discuss whether it is important for organizations like Gawker Media to be socially responsible. It will determine factors CEOs should consider when responding to a security breach. Finally, it will create an email script to be sent to AT&T customers informing them of the security breach and a plan to resolve the issue and state the rationale. Apply your theory to a real-world case in which someone hacked into a system, including the name of the company and details. As I attempt to discuss this assignment, I could not avoid thinking about the age-old opinion that Apple products were unique, and that they were protected against criminal encroachments. As such, Apple became one of the hottest technological innovations in the industry. Today, like most other such technology, Apple is becoming increasingly vulnerable to intrusion. It is becoming a medium for posing threats to an entire corporate network as well as devices for official and unofficial use. My answer to this question is twofold. In other words qualification of any kind for such conduct must be based...
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...Corporate Social Responsibility, Audit Fees, and Audit Opinions Long Chen School of Management George Mason University E-mail: lchenk@gmu.edu Bin Srinidhi Department of Accountancy City University of Hong Kong E-mail: acbin@cityu.edu.hk Albert Tsang School of Accountancy The Chinese University of Hong Kong E-mail: albert.tsang@cuhk.edu.hk Wei Yu Department of Accounting and Information Management The University of Tennessee E-mail: wyu4@utk.edu March 30, 2012 We thank Zhiyan Cao, Joseph Carcello, Keith Jones, Kathryn Kadous, Roger Simnett, and seminar participants at the City University of Hong Kong, George Mason University, National University of Singapore, Singapore Management University, Sun Yat-sen Business School, 2011 Academic Conference on Social Responsibility held by the University of Washington Tacoma, and 2012 AAA Auditing Section Midyear Conference for their helpful comments. Corporate Social Responsibility, Audit Fees, and Audit Opinions Abstract Using a sample of U.S. firms from 2000-2008, we examine whether and how their Corporate Social Responsibility (CSR) affects audit fees and the audit opinions. We find that auditors charge lower fees and reduce the propensity to issue going concern qualifications to client firms with superior CSR performance, but increase them for clients with significant CSR concerns. We interpret this finding as suggesting that the auditors use CSR information as an indicator of the client’s...
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...Online Shopping Behavior in Pakistan Arsalan S. Khan, Faisal Ahmed, Hassan Yousuf, Sohaib ul Hassan and Syed Abbas Zia Karachi School for Business & Leadership Arsalansalahuddinkhan@hotmail.com[->0] 1 Abstract The purpose of this paper is to study the consumer behavior of online shoppers in Pakistan in order to gain insights into their attitudes, preferences, decision-making frame work, and life styles. The target population for this study consisted of the urban consumers who are educated and belong to upper and upper-middle socio-economic classes. Within online shopping, two major categories could be established, namely “Electronics” and “Clothing”. As per our analysis, the experience expected from both the medium is different. For purchasing a commodity offline, the customer would rate the overall shopping experience higher as opposed to convenience. Now we had to establish that what type of goods would be preferred online as opposed to through brick & mortar, and vice-versa. Keywords: online, brick & mortar, electronics, clothingl. 2 Introduction To study the consumer behavior of online shoppers in Pakistan in order to gain insights into their attitudes and preferences, decision-making frame work, attributes for store selection and life styles encouraging online shopping. The target population for this...
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...INSTRUCTIONS FOR FILING 2010 U.S. CORPORATION INCOME TAX RETURN April 08, 2011 SIGNATURE: An authorized officer of the corporation should sign and date the return at the bottom of the first page. FILING: File your 2010 Form 1120, U.S. Corporation Income Tax Return, (or Form 1120-H, U.S. Income Tax Return for Homeowners Associations) with: Department of the Treasury Internal Revenue Service Center Cincinnati, OH 45999-0012 File your 2010 Form 1120/1120-H on or before: March 15, 2011 The IRS may treat tax returns and estimated tax payments that are lost in the mail as not filed on time, unless you send them by registered or certified mail. To avoid the risk of your tax return being lost, mail it via (1) certified U.S. mail, return receipt requested, or (2) one of the private delivery services listed in the IRS instructions under "When to File." Save the receipt, and you will be presumed to have timely filed your return - even if it is not received by the IRS. TAX DUE OR REFUND, OVERPAYMENT, ESTIMATED TAXES: No tax is due with your Federal income tax return. Form 1120 U.S. Corporation Income Tax Return For calendar year 2010 or tax year beginning , 2010, ending G See separate instructions. Name OMB No. 1545-0123 Department of the Treasury Internal Revenue Service , B C 2010 Employer identification number A Check if: 1 a Consolidated return b 2 3 4 (attach Form 851) Life/nonlife consolidated return Personal holding co (attach Sch PH)...
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...ShanShan Tang BUS141 IM #5 1.0 What is the thesis statement of the article? Sprint is raising the stakes in the wireless wars by offering to cut in half AT&T and Verizon customer’s bill if they make the switch to the third- place carriers. 2.0 Will this pricing strategy work? Will Sprint win market shares from its half pricing strategy? 3.0 The areas of the pricing strategies described, revealed, or incorporated in this article include the following subjects from the 3 pricing chapters and the module. 3.1 price and value 3.1.1 Consumer reaction to value of the service/ product.. Consumer are eager to find out how much saving they would have from switching to sprint 3.1.2 A non-price based strategy The sprint plans would offer unlimited talk and text and however much data the subscribers were buying from AT&T or Verizon. 3.1.3 The customer attracted to this unique, higher priced product includes This is not a higher priced product because sprint would let subscribers pay half of what they are paying to AT&T or Verizon. So it is a lower priced product. 3.1.4 The stage of the life cycle of sprint is declined, during the declined stage, sales fall rapidly. Sprint’s shares fell about 3% Tuesday, leaving them down more than 55% so far this year. When this happens, marketer may regain consumer’s attention by cutting off the price. 3.1.5 New features are added to product extension The half-off pricing under sprint’s offer won’t expire as long as subscribers stay...
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