FINANCIAL MANAGEMENT ASSIGNMENT (S1309012890) Open University Malaysia Semester 2, Sept 2013 BMFM 5103 – Financial Management Question 1 If the goal of a firm is to maximize the shareholder wealth does it mean profit is not important at all? Explain your answer. (5 marks) Maximizing the shareholder’s wealth is long term process. Shareholder wealth is maximized by maximizing the difference between the market value of the firm’s stock and the
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because they cause the cash drawer to be out of balance with the cash register tape. o. True p. False 6. Which of the following can be used to conceal a false refund scheme? q. Destroying register tapes r. Issuing refunds below the review limit s. Forcing inventory totals t. All of the above 7. For the perpetrator, the most dangerous part of a typical register disbursement scheme is often: u. Physically removing the cash from the register and
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foreseeable future. What is PTFC’s weighted average cost of capital (WACC)? Question 2: (Capital Budgeting) 4 points Consider Projects A and B, with net cash flows as follows: ---- Net Cash Flows ---- Project A Project B Initial Cost at T-0 (Now) ($30,000) ($50,000) cash inflow at
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other then the financial statements would probably not be relevant? A. The competitive environment B. New versus old store mix C. Expected capital expenditure D. Expected level of macroeconomic activity 2. The reliability of a short-term cash forecast depends most heavily on the quality of: A. Cost of goods sold forecast B. Current ratio forecast C. Sales forecast D. Shares outstanding forecast 3. What is the correct order of the following steps in preparing a projected income
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BUSN 5200 Homework Assignment for Week 1: 1. Describe the field of finance. How is it different from the field of accounting? Finance is a multifaceted field that relates to many aspects of life and business and it is beneficial to understand its impact. Knowing how finance works in different areas is crucial in budgeting investing and making your assets go far. In the text, Finance consists of three areas; corporate finance, investments and financial institutions. Corporate finance
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methods would you use to plan for financial management including: * What you would analyse in order to find information on previous profit/loss? * How would investigate the reasons for previous profit/loss? * How would you analyse identify future expenses etc…? * How would you analyse cash flow trends? * What requirements might you have in relation to taxation? * What types of software might you need for financial management? * Then discuss the steps involved in
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more customer entering the café premises as the business progresses. LO1: Understand the source of finance available to a business 1.1 Identify the sources of finance available to the business Owners Investment: This is the money or cash which comes from the owners savings it may be in the form of start-up capitals which are used when the owner is setting up the business or it can also be in the form of additional capital which can be used for business expansion, as this can be a long
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on the other hand is a strong regional leader with 50% of revenue generated from dairy products and over 90% revenues generated in GCC market. Financial analysis was carried out for both firms using common-size balance sheet, income statement and cash flows statements. In balance sheet analysis of Danone, money market funds purchased during 2013 represent the main component in current assets and brands and goodwill represents majority of non-current asset. In comparison, inventory represents 48%
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Magers for successful leadership upon Cook’s retirement. Thanks to Cook’s management the first half of 2000 was a modestly successful period, but the second half of this year will be a challenging period because of price reduction on 100 series. With excess capacity for all industry players and very similar products, price competition was always a threat for the industry. Several changes have been proposed by the company management to increase profit and improve long-run profitability. ANALYSIS Careful
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what you see as the main issue(s) facing the organisation? You may use any of the problem solving techniques covered in lectures to help diagnose, analyse and/or illustrate these. 2. Briefly discuss what action, if any, needs to be taken by management. 3. Outline what additional information, data, statistics etc, which are not provided, are necessary to help with decision making, and explain your reasoning? You must submit the completed proforma to the iZone by 30th November 2015.
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