which we are interested is the length of time until the sum of the discounted cash flows is equal to the initial investment. Efficient frontier: set of project portfolio options that offers either a maximum return for every given level of risk or the minimum risk for every level of return. Internal rate of return (IRR): an alternative method for evaluating the expected outlays and income associated with a new project investment opportunity. Lead time: effective methods for aligning profit objectives
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the field of financial management. It is this challenging environment to which I intend to contribute by evolving meaningful and optimal solutions to various problems of finance. Thus, my goal is a career in In Finance and wherein I could advance analytical approaches to financial management. To achieve my career goals, I need to learn much more about current developments and techniques in finance, financial markets and financial applications and acquire hands-on experience of financial analysis. A
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FIN413 Risk Management Summer 2012 Alberta School of Business, University of Alberta Futures Futures Contracts 2 Agreement between two parties to buy or sell an asset for a certain price at a certain time in the future Futures contract is referred to by its delivery month Example: December Gold Futures Contract Futures Contracts 3 Available on a wide range of underlyings - Commodities: Agricultural, Metals, Energy - Financials: Currencies, Bond, Stock indexes
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e., that firms that are undervalued by financial markets, relative to true value, will be targeted for acquisition by those who recognize this anomaly. (2) A more controversial reason is diversification, with the intent of stabilizing earnings and reducing risk. (3) Synergy refers to the potential additional value from combining two firms, either from operational or financial sources. • • Operating Synergy can come from higher growth or lower costs Financial Synergy can come from tax savings, increased
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Dynamic Setting and Public Disclosure in the Financial Services Industry A Dissertation Presented to the Faculty of the Graduate School of Yale University in Candidacy for the Degree of Doctor of Philosophy by Kai Du Dissertation Director: Shyam Sunder December 2012 c 2012 by Kai Du All rights reserved. Abstract Essays in Accounting Theory: Corporate Earnings Management in a Dynamic Setting and Public Disclosure in the Financial Services Industry Kai Du 2012 This dissertation
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project's cash flows should be discounted at a rate that reflects the project's risk characteristics. Discounting cash flows at the firm's weighted average cost of capital (WACC) is therefore inappropriate if the project differs in terms of its riskiness from the rest of the firm's assets. (Kruger, Landier &Thesmar 2011) According to Modigliani and Miller when discounting a projects cash flows, the projects risks must be adequately reflected, in the case of New Earth Mining, the riskiness of
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1. Log on to finance.yahoo.com and enter the ticker symbol RRD in the Get Quotes box to find information about R.R. Donnelley & Sons. a. Click on Profile. What is Donnelly's main line of business? R.R. Donnelley & Sons Company provides integrated communication solutions to private and public sectors worldwide. It operates through Publishing and Retail Services, Variable Print, Strategic Services, and International segments. b. Now go to Key Statistics. How many shares of the company's stock
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Peter Vanderhein thought that he needed special expertise for the finance function forced by the rapid growth of the company and he recognized that the estimate of the cost of capital itself was questionable. The controller who is in charge of the financial part has been using book value weights to calculate WACC but it considers only long-term capital value. At this point, the problem is that they want to decide what weights should be used and know how much difference of WACC calculated by the choice
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weaknesses of Malaysian corporate governance practice due to the Asian Financial Crisis in 1997. After 1998, the government of Malaysia decided to adopt the corporate reforms to enhance the quality of good corporate governance practice in the country. The main sources of the Corporate Governance reforms agenda in Malaysia other than Malaysian Code on Corporate governance are the Capital Market Master Plan (CMP) and also Financial Sector Master Plan (FSMP). This sources provides guidelines on the principles
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dimensions? Financial ratios are great indicators to find a firm’s performance and financial situation. Most of the ratios are able to be calculated through the use of financial statements provided by the firm itself. They show the relationship between two or more financial variables that can be used to analyze trends and to compare the firm’s financials with other companies to further come up with market values or discount rates, etc. After coming up with all of the financial ratios the
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