...a group of financial securities can assist the investor to improve the return/risk tradeoff; that is owing eight stocks will produce an improved return/risk product over time versus owing one stock. Therefore, in evaluating a portfolio it is critically important to compare returns and risks involved; but in order to compare and evaluate returns and risks the investor has to know how to calculate these two important criteria (Markowitz, 1970). The return of a stock is based on its current price, its expected price plus distributed dividends. Therefore, if the current price of a stock is $40.00, its expected market price, let us say after a year, is increased to $50.00 and the distributed dividends amount to $5.00, its return is calculated as: [(Pt-Po) + DIV]/Po; Po is the current price of the stock, Pt is the price of the stock after one year and DIV are the distributed dividends per share. Substituting the above assumed numbers into the equation we have [($50-$40) +$5]/$40 = 0.25 or 25%. The risk of a stock is mainly measured by the standard deviation (Markowitz, 1987). In the case of a portfolio the expected return is the weighted average return of the returns of all the stocks included in the portfolio. The weight represents the amount that has been invested in each of the stocks included in the portfolio (Markowitz, 1987). Based on the above the basic formula is ERp = W1R1 + W2R2. The symbol ERp represents the return of the portfolio p; W1 and W2 represent the amounts...
Words: 2918 - Pages: 12
...in order to provide electronic access to employee W-2 forms through the Equifax website. The site database currently has more than 431,000 current and former Kroger employees registered. Data accessed on the site included W2 forms (listing SSNs, addressed, and salaries). As pointed out by Dailey, the spokesman for Kroger, the popular grocery store chain conglomerate is not the only company to rely on Equifax for electronic access to employee W2 information; nor are they the only company to rely on a combination of SSN and birth date to access the data. Dailey even surmised that it could be the standard setup Equifax relies on for the system. One month previous to the Kroger/Equifax data breach, Stanford University notified 3,500 of their current and former employees of a similar problem when their data was accessed for purposes of identity theft through the W-2Express database run by Equifax. Northwestern University had a similar issue with 300 employees’ salary and tax data files being accessed through Equifax’s W-2Express portal as well. W-2 data is particularly valuable...
Words: 437 - Pages: 2
...------------------------------------------------- Email us if you need help with your assignments, problems and quizzes. support@hwmojo.com ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- Chapter 1—Introduction to Money and Banking MULTIPLE CHOICE 1. Economic policy affects a. | only the amount of money in the economy. | b. | how banks operate and only banks. | c. | the entire financial system. | d. | how financial securities are traded and no other part of the financial system. | ANS: PTS: 1 DIF: Basic TOP: Introduction to Money and Banking TYP: Factual 2. A financial policymaker not mentioned in Chapter 1 is the a. | Securities and Exchange Commission (SEC). | b. | Federal Deposit Insurance Corporation (FDIC). | c. | Consumer Financial Protection Bureau (CFPB). | d. | Federal Reserve System (the Fed). | ANS: PTS: 1 DIF: Basic TOP: Introduction to Money and Banking TYP: Factual 3. The policymaking institution that determines the money supply, sets the rules for how checks are cleared and how banks obtain new currency, and determines what activities banks may or may not engage in and whether...
Words: 67441 - Pages: 270
...------------------------------------------------- Email us if you need help with your assignments, problems and quizzes. support@hwmojo.com ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- Chapter 1—Introduction to Money and Banking MULTIPLE CHOICE 1. Economic policy affects a. | only the amount of money in the economy. | b. | how banks operate and only banks. | c. | the entire financial system. | d. | how financial securities are traded and no other part of the financial system. | ANS: PTS: 1 DIF: Basic TOP: Introduction to Money and Banking TYP: Factual 2. A financial policymaker not mentioned in Chapter 1 is the a. | Securities and Exchange Commission (SEC). | b. | Federal Deposit Insurance Corporation (FDIC). | c. | Consumer Financial Protection Bureau (CFPB). | d. | Federal Reserve System (the Fed). | ANS: PTS: 1 DIF: Basic TOP: Introduction to Money and Banking TYP: Factual 3. The policymaking institution that determines the money supply, sets the rules for how checks are cleared and how banks obtain new currency, and determines what activities banks may or may not engage in and whether...
Words: 67441 - Pages: 270
...CompTIA Security+: Get Certified Get Ahead SY0-401 Study Guide Darril Gibson Dedication To my wife, who even after 22 years of marriage continues to remind me how wonderful life can be if you’re in a loving relationship. Thanks for sharing your life with me. Acknowledgments Books of this size and depth can’t be done by a single person, and I’m grateful for the many people who helped me put this book together. First, thanks to my wife. She has provided me immeasurable support throughout this project. The technical editor, Steve Johnson, provided some good feedback throughout the project. If you have the paperback copy of the book in your hand, you’re enjoying some excellent composite editing work done by Susan Veach. I’m extremely grateful for all the effort Karen Annett put into this project. She’s an awesome copy editor and proofer and the book is tremendously better due to all the work she’s put into it. While I certainly appreciate all the feedback everyone gave me, I want to stress that any technical errors that may have snuck into this book are entirely my fault and no reflection on anyone who helped. I always strive to identify and remove every error, but they still seem to sneak in. About the Author Darril Gibson is the CEO of YCDA, LLC (short for You Can Do Anything). He has contributed to more than 35 books as the sole author, a coauthor, or a technical editor. Darril regularly writes, consults, and teaches on a wide variety of technical...
Words: 125224 - Pages: 501
...A COMPARATIVE STUDY OF "FUZZY LOGIC, GENETIC ALGORITHM & NEURAL NETWORK" IN WIRELESS NETWORK SECURITY (WNS) ABSTRACT The more widespread use of networks meaning increased the risk of being attacked. In this study illustration to compares three AI techniques. Using for solving wireless network security problem (WNSP) in Intrusion Detection Systems in network security field. I will show the methods used in these systems, giving brief points of the design principles and the major trends. Artificial intelligence techniques are widely used in this area such as fuzzy logic, neural network and Genetic algorithms. In this paper, I will focus on the fuzzy logic, neural network and Genetic algorithm technique and how it could be used in Intrusion Detection Systems giving some examples of systems and experiments proposed in this field. The purpose of this paper is comparative analysis between three AI techniques in network security domain. 1 INTRODUCTION This paper shows a general overview of Intrusion Detection Systems (IDS) and the methods used in these systems, giving brief points of the design principles and the major trends. Hacking, Viruses, Worms and Trojan horses are various of the main attacks that fear any network systems. However, the increasing dependency on networks has increased in order to make safe the information that might be to arrive by them. As we know artificial intelligence has many techniques are widely used in this area such as fuzzy logic, neural...
Words: 2853 - Pages: 12
...Article Review: - The Greed Cycle, by John Cassidy The article by Thomas Cassidy, points out the instrumental role that greed plays in the modern corporation. Modern Economists have always seen greed as not only a necessary element in the corporate environment, but as also a vital part of the successful evolution of a public company. As the article points out, “Economists from Adam Smith to Milton Friedman have seen greed as an inevitable and, in some ways, desirable feature of capitalism. In a well regulated and well balanced economy, greed helps to keep the system expanding”. In the early public companies, greed was not seen as a danger, as the implicit trust that managers would not slack off, and would run the company in the interest of the stockholders and stakeholders was not undermined. Economist was the first to identify the issue of managers not acting in the interest of the shareholders, and instead being motivated by greed, and “self-enrichment”. Public Companies, evolved as a way to create financing for large industry, where in the owners agreed to relinquish day to day control and operation of a company to mangers, who in turn would act in their interest, and maximize revenues. As the article points out, in the beginning, “most of the professional managers were content to collect generous salaries and pensions rather than habitually attempt to rob the stockholders and bondholders. It is a strong proof of the marvelous growth in recent times of a spirit...
Words: 824 - Pages: 4
...Implications Three constraints: Scope for increasing aggregate size of public sector limited Scope for raising debt levels limited Contingent liabilities will need careful management Some implications: PPP may help but are unlikely to be a panacea (PPP should be driven by VfM not fiscal constraints) Raising savings (revenue), improving efficiency of investment, and equitization will all have to play a role. 4 Debt Management I: Definition of Public Debt Vietnam - Gross Public and Publicly Guaranteed Debt - 2005-2009 2005 2006 2007 2008 2009 (In percent of GDP) A. Gross public and publicly guaranteed debt (B+C) B. Gross domestic public and publicly guaranteed debt (B1+B2) B1. Gross domestic public debt Securities Loans and advances B2. Gross domestic publicly guaranteed debt VDB domestic debt Other entities (Social Policy Bank, VEC, Vinashin bonds etc.) C. Gross external public and publicly guaranteed debt (C1+C2) C1. Gross external public debt Multilateral Bilateral...
Words: 1589 - Pages: 7
...The issue of ethics in the corporate world has been widely talked about over the last decade. Corporate scandals almost seem like a part of everyday life. The nation’s response is to inform students of ethical conduct and hold organizations to a higher standard. This will hold CEOs and management responsible for all fraudulent acts committed by an organization. The ethical spotlight has now turned to CEO compensation due to the recent decline in the economy. The focus point of those public discussions has been to try and get a better position to influence CEO compensation packages. Determining a CEO compensation package and commitment that does not place undue pressure on the CEO to taint financial statements, provide excessive perks, approve stock option scandals to occur, and let outrageous severance packages could be a giant step in the right direction toward an ethical foundation in the business community. Perhaps CEO compensation packages are not the cause of corporate scandals, but sometimes they do push CEOs into making improper and unethical decisions. The relationship between CEO compensation is parallel to being an ethical company, and having long term success Executive compensation has risen significantly in past ten years. These increases are difficult to comprehend considering profits and stock prices of the only increased by 11% and 23% respectively as of 2008. Although the increase in market value created an environment for increasing compensation without much...
Words: 668 - Pages: 3
...Food-Lion MVP Program Charles A. Kennedy BUS_120 February 7, 2009 Mr. Belflowers Fayetteville Technical Community College Located throughout different parts of the eastern seaboard, there is a popular food store called Food-Lion. The main goal for the store is to provide quality food products at reasonable affordable prices that other stores cannot compete with. With this as their main goal, the store believes it will greatly gain profit and exposure leading to the company growing. Food-Lion is seeking to expand its operations by improving their quality and providing enough quantity. Food-Lion is seeking to take their business in a whole new direction with a Most Valued Product (MVP) program. The proposed system requirements are the system shall have three tiers of users; customers, users, and managers. Users in the “customers” tier represent customers of Food-Lion and account holders. They will be able to view their MVP savings and instantly get other coupon rewards. Users in the “Users” tier represent employees of Food-Lion. They will be able to view their MVP savings from each customer in their area. This would allow them to track pacific items. Every customer will specifically be assigned one account number that will identify the customer within the Food-Lion MVP Program. Whenever a purchase has been made and the customer uses the MVP Card account number, the savings will automatically be credited to customer purchase. When customers want to use their MVP...
Words: 1205 - Pages: 5
...MajoA review of financing instruments by Steel majors: Innovations Tata Steel 2011 In March 2011, Tata Steel became the first company to issue Perpetual bonds (Perps) in India. A Perp has no maturity date. The investor gets income from the bond forever. The company, however, has a Call option after the end of the 10th year. The company can therefore, pay off the bond holders and extinguish the bond. The investor cannot redeem the bond ever, but can trade the bond in the secondary market. The coupon rate for the first 10 years is 11.8 percent, paid semi-annually. From the 11th year the coupon rate will be stepped up to 14.80. The coupon rate will be capped at 14.80%. The promoter stake in the company had been diluted by 2.4% in the FPO of January 2011(described below). This is cited as a reason why the company chose to issue bonds rather than equity. Similarly, taking on more debt would have negatively affected its Debt Equity ratios. The company intends to include the instrument as a separate class of capital under schedule 6 of Indian GAAP. This will not increase the interest burden of the company since the interest as and when paid will be recorded as a change in equity on its balance sheet. It can be counted as debt for tax purposes and as equity for ratings. The cost of capital through this instrument is also lower. Cost of equity for markets such as India is 16-24% and cost of debt is around...
Words: 263 - Pages: 2
...1. Clearly define the ethical problem. Ans: The ethical problem is that SGT Day willingness to be dishonest and not report the security breach. 2. Employ applicable laws and regulations. Ans: . I would inform my supervisor of the findings and situation and while adhering to JER and Army regulations for dealing such issues. 3. Reflect on ethical values and their ramifications. Ans: I would counsel SGT Day for just wanting to cover up the findings, reminding him that not reporting the finding of the pages immediately could jeopardize our own career. 4. Consider other applicable moral principles. Ans: I would to talk SFC Sharp and ask him why the pages weren’t destroyed two week ago and find out how to destroy them at this time. 5. Commit to and implement the best ethical solution. Ans: I would then come up with a plan so that we can put in place a tracking system so that this situation doesn’t happen again. 6. Assess results and modify plan as required. Ans: Even though the civilian cleaning team doesn’t even clean our area and only our people ever come in here and the pages are from an alternate communications security book and were never used it’s still a Security risk. After talking with SGT Day and having him check the inventory and destruction certificates and he discovered that SFC Sharp certified the destruction of the book these pages came from two weeks ago and also that there were no more pages. I would to talk SFC Sharp and ask him why the pages weren’t...
Words: 380 - Pages: 2
...E15-3 E15-4 E15-5 E15-6 Content Trading Securities. (Easy) Journal entries. Unrealized holding gain. Balance sheet disclosure. Trading Securities. (Moderate) Journal entries. Income statement and balance sheet disclosures. Long-Term Investments. (Easy) Securities available for sale. Purchase and adjusting entries. Available-for-Sale Securities. (Easy) Journal entries. Compute unrealized increase/decrease balance. Available-for-Sale Securities. (Easy) Journal entries. Balance sheet disclosure. Held-to-Maturity Bond Investment. (Easy) Premium, straight-line amortization, journal entries. Error in recording interest at acquisition. Held-to-Maturity Bond Investment. (Easy) Discount, semiannual interest receipts, straight-line and effective interest methods of amortization, journal entries. Held-to-Maturity Bond Investment. (Moderate) Discount, semiannual interest receipts, sale at gain. Effective interest method. Journal entries. Bond Investment. (Moderate) Discount, semiannual interest receipts, amortization schedule using effective interest method, journal entries. Bond Investment. (Moderate) Premium, semiannual interest receipts, amortization schedule using effective interest method, journal entries. Bond Investment. (Moderate) Premium, semiannual interest receipts, sale at loss. Effective interest method. Journal entries. Transfer Between Categories. (Easy) Reclassification from "held-to-maturity" to "available-for-sale securities." Journal entries for interest and reclassification...
Words: 17388 - Pages: 70
...CRM 11- Performance measurement Important stakeholders of a company - Shareholders / Board of directors - Customers - Employees/Management An organisation must maximize the main sources of revenue, profit and growth within the context of both business and customer strategy. The three key stakeholders group are: Employee Value Employee value needs to be considered from two perspectives. #1 the value employees deliver to the organization - This is usually measured against a number of performance objectives, where employees are appraised against performance targets #2 the value the organisation delivers to the employees - Comprises the benefits the work force receives in exchange for the opportunity cost, time and labour expended in performing their job. Customers Value The value the customer receives from the organisation is defined by the perceived benefits of the offer made to the customers, which extend beyond the core product or service. These higher level benefits can come from intangible factors, such as the provision of better customer service or association with a quality brand image. The value of the organisation receives from the customer is determined by the profits obtained from the customer over the lifetime of their relationship with the organisation. Shareholder Value Shareholder value is created by achieving a favourable rate of the return on capital invested. The board of director may expect the following...
Words: 3196 - Pages: 13
...contribute or not contribute to the losses. This assignment will use technology and information resources to research issues in accounting information systems. AIS Attacks and Failures: Who to Blame Take a position on whether a firm and its management team should or should not be held liable for losses sustained in a successful attack made on their AIS by outside sources. Include two (2) facts to support your position. Security controls are safety measures to avoid, counteract or minimize security risks. The firm and management team is responsible for effectively implementing preventative, detective, and corrective controls in order to prevent, identify, and limit the extent of damage from occurring, in progress, or caused by the incident. If adequate security controls are in place then the firm and management team should not be held liable for losses sustained in a successful attack made on their Accounting Information System (AIS) by outside sources. However, if a firm and its management team have not implemented an adequate security control system, then they should be held liable for losses sustained in a successful...
Words: 600 - Pages: 3
