1
Finance 301 Test 2
Chapter 5 The Time Value of Money
Time Lines = Important tool used in time value analysis; graphical representation used to show timing of cash flows
KNOW HOW TO USE FINANCIAL CALCULATOR TO SOLVE PROBLEMS watch for imputing negative s
Finance 301 Test 3
Chapter 8 Risk and Rates of Return
The Risk-Return Trade Of
Stand-Alone Risk
Risk
o
o
the chance that some unfavorable event will occur
Stand Alone Risk
the risk an investor would face if he or she held only one asset
Statistical Measur
Financial 301 Test 1
Chapter 1
1. Proprietorship- business owned by one person
Advantages: easy and inexpensive to form, fewer regulations, single taxed,
Disadvantages: unlimited liability, limited life, and hard to raise capital
2. Partnership- two peo
Fin 301- Select Homework Solutions
1-1
A firms intrinsic value is an estimate of a stocks true value based on
accurate risk and return data. It can be estimated but not measured precisely.
A stocks current price is its market pricethe value based on perce
Finance 301 Final Exam
Chapter 11 The Basics of Capital Budgeting
An Overview of Capital Budgeting
Capital Budgeting
o The process of planning expenditures on assets with cash flows that are expected to extend
beyond one year
Strategic Business Plan
o A