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La Verne - BUS - 510
Analysis of International Trade of U.S. Economy and JobsUNIVERSITY OF LA VERNEBUS 500B: Economics for Decision MakingPrepared for Professor J.M. WaleckiPrepared by Group #2Bo Zhao Xingyu Peng Lin Lin Kuo Feng WeiJan 2012Analysis of International Tr
La Verne - BUS - 510
University of La Verne COLLEGE OF BUSINESS & PUBLIC MANAGEMENT BUS 500B ECONOMICS FOR DECISION MAKINGFall 2011Midterm Exam I. What is the main focus of economics and why? What are the main sectors in California's economy? Which are the most important fa
La Verne - BUS - 510
University of La VerneCollege of Business and Public Management BUS 530 Financial Management Course Outline Winter 2012 TermINSTRUCTOR Richard Hasse, M.B.A. Telephone: 626-818-8652 Fax: 909-626-1756 E-mail: rhasse@laverne.edu Skype: rick.hasse You Tube
La Verne - BUS - 510
University of La Verne BUS 530 Financial Management Mid Term Examination January 31, 2012Note: Please complete work in an Excel or Word file (only one file please). Make sure your name is in the file title. Your work is due in the Examinations folder of
La Verne - BUS - 510
Chapter 15Capital Structure DecisionsANSWERS TO END-OF-CHAPTER QUESTIONS15-1a. Capital structure is the manner in which a firms assets are financed; that is, the righthand side of the balance sheet. Capital structure is normally expressed as theperce
La Verne - BUS - 510
Chapter 1 An Overview of Financial Management and The Financial EnvironmentANSWERS TO END-OF-CHAPTER QUESTIONS1-1 a. A proprietorship, or sole proprietorship, is a business owned by one individual. A partnership exists when two or more persons associate
La Verne - BUS - 510
Chapter 4 Time Value of MoneyANSWERS TO END-OF-CHAPTER QUESTIONS4-9a.0 6%|1|$500(1.06) = $530.00. 2|-500 b. 0 6%|FV = ? 1|$500(1.06)2 = $561.80.-500 c. 0 6%|FV = ? 1|$500(1/1.06) = $471.70. 2|PV = ? d. 0 6%|500 1|$500(1/1.06)2 = $
La Verne - BUS - 510
Part 1 Answers Points: 20 1 2 3 4 5 6 73/31/2011Time Value of Moneya. Find the FV of $1,000 invested to earn 10% annually 5 years from now. Answer this question by using a math formula and also by using the Excel function wizard. Inputs: PV = I/YR = N
La Verne - BUS - 510
Review Notes:These notes are a review of topics that you have covered in the prerequisite courses. It is provided because these tools are extremely important for the rest of this course. I have included a large amount of information in these notes, howev
La Verne - BUS - 510
Chapter 4 Time Value of Money1Time Value TopicsFuture value Present value Rates of return Amortizationn n n n2Determinants of Intrinsic Value: The Present Value EquationNet operating profit after taxes Free cash flow (FCF) - = Required investments
La Verne - BUS - 510
CHAPTER 6 Risk, Return, and the Capital Asset Pricing Model1Topics in Chaptern n n n nBasic return concepts Basic risk concepts Standalone risk Portfolio (market) risk Risk and return: CAPM/SML2Determinants of Intrinsic Value: The Cost of EquityNet
La Verne - BUS - 510
Chapter 24 Portfolio Theory, Asset Pricing Models, and Behavioral Finance1Topics in ChapterPortfolio Theory Capital Asset Pricing Model (CAPM)n n n nn nn nArbitrage pricing theory FamaFrench 3factor modelEfficient Frontier Capital Market Line (CML
La Verne - BUS - 510
MINI CASE Chapter 6 & 24 Solutions Assume that you recently graduated with a major in finance, and you just landed a job as a financial planner with Barney Smith Inc., a large financial services corporation. Your first assignment is to invest $100,000 fo
La Verne - BUS - 510
Risk and Return Chapter 4These notes are an expanded version of the notes used in ECBU 500D. Very important ideas have been added. Therefore, you may see some overlap with them. In this topic we will look at the risk and return from the point view of per
La Verne - BUS - 510
A 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48BCD 2009 $6.00 100,000 40%E 2010 $12.17 250,000 40%Year-end common stock price Year-end shares outstanding Tax rat
La Verne - BUS - 510
CHAPTER 3 Analysis of Financial Statements1Topics in Chaptern n n n nRatio analysis Du Pont system Effects of improving ratios Limitations of ratio analysis Qualitative factors2Determinants of Intrinsic Value: Using Ratio AnalysisNet operating prof
La Verne - BUS - 510
CHAPTER 12 Financial Planning and Forecasting Financial Statements1Topics in Chaptern n nFinancial planning Additional funds needed (AFN) equation Forecasted financial statementsn n nnChanging ratiosSales forecasts Operating input data Financial p
La Verne - BUS - 510
Chapters 2, 3, 11, 12 Solutions 2-12 a.EBIT x (1-Tax rate) Net operating profit after taxes (NOPAT) $1,260 60.0% $756b.2010 Cash + Accounts receivable + Inventories Operating current assets $550 2,750 1,650 $4,950 2009 $500 2,500 1,500 $4,500Accounts
La Verne - BUS - 510
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88
La Verne - BUS - 510
Estimating Project Cash FlowsThe reading for this topic is chapter 12 in the text The basic concept: What we are trying to do here is decide whether a project is acceptable or not. Last week, in capital budgeting techniques, we looked at several methods
La Verne - BUS - 510
B C D E F G H I 1 12/20/2006 2 3 Tool Kit for Financial Planning and Forecasting Financial Statements 4 5 MicroDrive's recent financial statements are shown below. 6 7 INCOME STATEMENT 8 (in millions of dollars) 2006 2007 9 10 Sales $2,850.0 $3,000.0 11 C
La Verne - BUS - 510
Financial Statement Analysis:The reading for this topic is chapter 4 in your text. Live company. To facilitate learning, you need to download the balance sheet and income statement for a public corporation. Any will do. As you study this and some future
La Verne - BUS - 510
Percent of Sales Method (Chapter 14) The percent of sales method is used to forecast a company's balance sheet. Then it is possible to determine whether or not the company needs extra financing to meet its sales goals. This amount is known as the Addition
La Verne - BUS - 510
Asset A B CPercentage of Portfolio 30% 50% 20%Beta 1.5 0.8 1.2% Return 15% 6% 12%What is the Portfolio Return: What is the Portfolio Beta?9.90% 1.09Balance Sheet: Assets: Cash A/R Inventory Net Fixed Assets 200 400 500 900 Equity: Common Stock Retai
La Verne - BUS - 510
Chapter 2 Financial Statements, Cash Flow, and Taxes1Topics in ChapterIncome statement Balance sheet Statement of cash flows Free cash flow MVA and EVA Corporate taxes Personal taxes2n n n n n n nDeterminants of Intrinsic Value: Calculating FCFSale
La Verne - BUS - 510
CHAPTER 11 Cash Flow Estimation and Risk Analysis1TopicsnEstimating cash flows:n nnRisk analysis: n n nRelevant cash flows Working capital treatment Sensitivity analysis Scenario analysis Simulation analysis2nReal optionsThe Big Picture: Proj
La Verne - BUS - 510
Chapters 9 & 10 Solutions 9-9 Enter these values: N = 60, PV = -515.16, PMT = 30, and FV = 1000, to get I = 6% = periodic rate. The nominal rate is 6%(2) = 12%, and the after-tax component cost of debt is 12%(0.6) = 7.2%.9-10a. rs =$2.14 D1 +g= + 7% =
La Verne - BUS - 510
Cost of Capital Chapter 9Definition of capital: Capital is defined as the long-term funds the firm raises to purchase assets. The emphasis here is on long-term. Short-term borrowing is not capital. Short-term financing is used to manage the firm's cash p
La Verne - BUS - 510
Capital Budgeting (Chapter 10) Introduction In this topic we will consider an important issue for corporations. If you look at a company, it is made up of a group of projects. A company will run a project until it matures or for a certain number of years
La Verne - BUS - 510
Chapter 5 Bonds, Bond Valuation, and Interest Rates1Topics in Chaptern n n nKey features of bonds Bond valuation Measuring yield Assessing risk2Determinants of Intrinsic Value: The Cost of DebtNet operating profit after taxes Free cash flow (FCF)-
La Verne - BUS - 510
CHAPTER 7 Stocks, Stock Valuation, and Stock Market Equilibrium1Topics in Chaptern n n n n nFeatures of common stock Valuing common stock Preferred stock Stock market equilibrium Efficient markets hypothesis Implications of market efficiency for finan
La Verne - BUS - 510
CHAPTER 13 Corporate Valuation, ValueBased Management and Corporate Governance 1Topics in Chaptern n nCorporate Valuation ValueBased Management Corporate Governance2Intrinsic Value: Putting the Pieces TogetherNet operating profit after taxes- Free
La Verne - BUS - 510
Inputs Equipment Cost Salvage Value, Year 4 Units Sold, Year 1 Annual change in units sold, after Year 1 Sales price per unit, Year 1 Annual change in sales price, after Year 1 Variable cost per unit (VC), Year 1 Annual change in VC, after Year 1 Fixed Co
La Verne - BUS - 510
Corporate valuationPlease read chapter 15 in the textbook in addition to these notes. Those of you who took ECBU 500D with probably remember me explaining that the price of any thing is the present value of future benefits. For example, the price of a ch
La Verne - BUS - 510
Year: Investment PV Cash Flow NPV IRR Profitability Index Payback0123-100000 40000 40000 50000 $115,984.61 $37,842.95 $35,802.22 $42,339.43 $15,984.61 13.78% 1.16 2 Years + 20,000/50,000 0.4 2.4 YearsYear: Investment WACC: 8.00% Cash Flow NPV IRR PI
La Verne - BUS - 510
Chapter 5 Bonds, Bond Valuation, and Interest Rates5-7 The problem asks you to find the price of a bond, given the following facts: N = 16; I/YR = 8.5/2 = 4.25; PMT = 50; FV = 1000. With a financial calculator, solve for PV = $1,085.80 5-8 With your fina
La Verne - BUS - 510
University of La VerneCollege of Business & Public Management BUS 530 Financial ManagementSample Case The La Verne Company is considering adding a new line to its product mix, a capital budgeting analysis is required. The production line would be set up
La Verne - BUS - 510
CHAPTER 14 Distributions to Shareholders: Dividends and Repurchases1Topics in ChapterTheories of investor preferences Signaling effects Residual model Stock repurchases Stock dividends and stock splits Dividend reinvestment plans2n n n n n nFree Cas
La Verne - BUS - 510
Chapter 13 Corporate Valuation, Value-Based Management, and Corporate Governance13-6 a. HV2 = = $2,700,000. b. $ 0|1|2|3| N|$80,000 71,428.57 79,719.39 2,152,423.47 $2,303,571.43$100,000$108,00013-7a. HV3 = = $713.33. b. 0|1|2|3|4
La Verne - BUS - 510
Chapter 15 Capital Structure Decisions15-7 a. Here are the steps involved: (1) Determine the variable cost per unit at present, V: Profit $500,000 50(V) V (2) = P(Q) - FC - V(Q) = ($100,000)(50) - $2,000,000 - V(50) = $2,500,000 = $50,000.Determine the
La Verne - BUS - 510
Year Investment Sales Cost Depreciation EBIT Taxes (40%) Net Cash Flow Depreciation Salvage Value Tax on Salvage value Working Capital Net Operating Cash Flow Discounted Cash Flow (10%) NPV IRR Profitability Index Payback0 $(240,000.00)1 $250,000.00 $12
TAMU Commerce - MIS - 5320
Advanced Programming Assignment 1Professor: Dr. Balaji Janamanchi Course: MIS 5330 - Advanced Programming Student Name: Abhishek Umesh Student ID: A00089269 Date: 9/9/2010Question 1: Create windows forms application in Visual Basic 2008 that displays a
Spartanburg Community College - ECON - 231
1/128Title 96 Tears I'm Not In Love Things We Do For Love Coming Home Faster Babe I Ain't Mad At Cha It's Not My Time Kryptonite That Smell Closer to the Edge Back Where You Belong Starstrukk The Hardest Thing Almost Lover Near To You I Ran (So Far Away)
University of South Africa - IT - 101
FAC1502/102/2/2011DEPARTMENT OF FINANCIAL ACCOUNTING ACCOUNTING MODULE FAC1502 TUTORIAL LETTER 102/2/2011 FOR FAC1502 Dear Student Please take note of the following information regarding this module: 1. CONTACT DETAILS The contact details of the lecturer
University of South Africa - IT - 101
FAC1502/201/2/2011SCHOOL OF ACCOUNTING SCIENCES DEPARTMENT OF FINANCIAL ACCOUNTING ACCOUNTING COURSE FAC1502TUTORIAL LETTER 201 FOR FAC1502 SOLUTION ASSIGNMENT 01/2/2011 (SECOND SEMESTER)Dear Student Enclosed you will find the solutions to assignment 0
University of South Africa - IT - 101
FAC1502/202/2/2011SCHOOL OF ACCOUNTING SCIENCES DEPARTMENT OF FINANCIAL ACCOUNTING ACCOUNTING COURSE FAC1502TUTORIAL LETTER 202 FOR FAC1502 SOLUTION ASSIGNMENT 02/2/2011 (SECOND SEMESTER)Dear Student Enclosed you will find the solution to assignment 02
University of South Africa - IT - 101
FAC1502 TEST FOUR WEEK SEVENQUESTION (15 marks) (18 minutes)The following information for the year ended 31 March 2009 relates to Jumbo Traders: Inventory (1 April 2008) Purchases Railage on purchases Sales Railage on sales Purchases Returns Sales Retur
University of South Africa - IT - 101
FAC1502 SOLUTION TO TEST FOUR WEEK SEVENQUESTION (15 marks) (18 minutes) = 1 mark (amounts must be correct) (M) = method mark (to be awarded if amount is incorrect but placed correctly) ^ = mark (amounts must be correct)1.Calculation of Closing Invent
University of South Africa - IT - 101
FAC1502 TEST ONE WEEK THREEQUESTION ONE (14 marks) (17minutes)Piet van der Merwe is a student who runs a transport business, VCD Safe Transport. He transports VC students to and from VC. TRANSACTIONS for the month of May 2010 1. 2. 3. 4. 5. 6. 7. Purcha
University of South Africa - IT - 101
FAC1502 SOLUTION TO TEST ONE WEEK THREEQUESTION ONE (14 marks) (17 minutes)Marking - only for A/c DR and A/c CR (both must be correct) and for A = OE + L (equation must be correct)NO. A/C DR 1. 2. 3. Consumables Inventory (Petrol) Insurance DebtorsA/C
University of South Africa - IT - 101
FAC1502 TEST SEVEN WEEK TEN(41 MARKS) (49 MINUTES) QUESTION ONE (11 marks) (13 minutes)The following information was extracted from the accounting records of CheckBook Stores on 28 February 2010: Balances at 31 January 2010: Debtors Control Creditors Co
University of South Africa - IT - 101
FAC1502 SOLUTION TO TEST SEVEN WEEK TEN(41 MARKS) (49 MINUTES) = 1 mark amount and name of account must be correct () = 1 method mark (^) = method mark ^ = markQUESTION ONE (11 marks) (13 minutes)1.1 CHECK BOOK STORES GENERAL LEDGER CREDITORS CONTROL ^
University of South Africa - IT - 101
FAC1502 TEST SIX WEEK NINEQUESTION (20 marks) (24 minutes)The following information relates to Wild Dog Manufacturers. The Debtors' Control account has been prepared and not completed by an inexperienced bookkeeper. DEBTORS CONTROL2009 Feb 1 28Balance
University of South Africa - IT - 101
FAC1502 SOLUTION TO TEST SIX WEEK NINEQUESTION (20 marks) (24 minutes) = 1 mark (contra account and amount must be correct) (^) = method markWILD DOG MANUFACTURERS GENERAL LEDGER DEBTORS' CONTROL2009 Feb 1Balance Bank (600 + 500^)b/d CPJ21 5602009
University of South Africa - IT - 101
FAC1502 TEST THREE WEEK FIVEQUESTION (15 marks) (20 minutes maximum)The following balances, amongst others, were extracted from the books of Walpole Woodworking Centre on 31 March 2010: Land & Buildings Equipment Accumulated Depreciation on Equipment (1
University of South Africa - IT - 101
FAC1502 SOLUTION TO TEST THREE WEEK FIVEQUESTION (15 marks) (20 minutes maximum) = 1 mark account must be correctly debited or credited ^ = mark narration must be logical WALPOLE WOODWORKING CENTRE GENERAL JOURNAL FOR MARCH 2010 Debit 31 Depreciation Ac
University of South Africa - IT - 101
FAC1502 TEST TWO WEEK FOURQUESTION (23 MARKS) (25 MINUTES)Jack Jones runs JJ Personal Training Gym. He is a personal trainer and the Gym is registered as a VAT vendor. During the month of February 2009, the following transactions took place: 2 He issued
University of South Africa - IT - 101
FAC1502 SOLUTION TO TEST TWO WEEK FOURQUESTION (23 MARKS) (25 MINUTES) = 1 mark amount must be correctJJ PERSONAL TRAINING GYM CASH RECEIPTS JOURNAL FOR FEBRUARY 2009 CRJ1Doc No. Day Details Bank Debtors Control Fees Earned Vat Output Vat Input Settle
University of South Africa - IT - 101
INF1520/101/3/2011HUMAN-COMPUTER INTERACTION 1Tutorial letter 101 for INF15202011: Semester 1 and Semester 2School of ComputingHuman-Computer Interaction 12ContentsImportant Announcements . 3 1 2 3 3 4 5 6 7 8 9 Welcome. 4 Tutorial Matter . 5 Comm
University of South Africa - IT - 101
INF1520/201/2/2011HUMAN-COMPUTER INTERACTION 1Tutorial letter 201 for INF1520Solutions to Assignment 12011 Semester 2School of ComputingHuman-Computer Interaction 12Dear student,This tutorial letter contains the solutions to Assignment 1. By now
University of South Africa - IT - 101
INF1520/202/2/2011HUMAN-COMPUTER INTERACTION 1Tutorial letter 202 for INF1520Solutions to Assignment 22011 Semester 2School of ComputingHuman-computer Interaction 12Dear student,This tutorial letter contains the solutions to Assignment 2. By now