Commercial Property Insurance
Practical Exercise 4
Module 4
Inventory values for the PDI warehouse in Houston, Texas have been the following for the past policy
year:
Jan.
$80,000,000
Feb.
$110,000,000
Mar.
$120,000,000
Apr.
$90,000,000
May
$130,000l,000
Loss Adjustment Summary
Amount
Claimed
$4,000,000
$3,150,000
Damage to Business
Personal Property
$3,000,000
$2,550,000
Damage to Stock at
Houston warehouse
Damage to Business
Personal Property
Damage to dock at
Houston Warehouse
Damage to on pressure
ves
Commercial Property
Homework Questions
Module 6
1. .Would it be reasonable to combine NFIP coverage and an ISO Flood Endorsement? If
so, which policy would pay what part of any major claims? It is reasonable to
combine these two because they are compatibl
Commercial Liability
Homework
Module 6 (Workers Compensation & Employers Liability)
1. The Chief Legal Officer left a message yesterday. It seems that PDI is being sued by the widow of a former PDI
employee who was killed in an employment related accident
Commercial Property Insurance
Homework Questions 3B
Module 3
The following questions pertain to the use of the Special Cause of Loss Form:
1. A PDI worker accidentally tossed an expensive piece of electronic equipment into the furnace at
the manufacturing
FIN 3302 UNOFFICAL Final Review
1. What is the FV of $20,000 invested for 10 years at a 5.55% annually compounded (AC) rate?
a. $33,567.14
b. 34,325.14
c. 32,577.89
d. 29,801.91
2. What is the PV of $1,800 to be received in 10 years if discounted at
FINANCE 3305 MONEY, MARKETS AND INSTITUTIONS
TEST #1 FALL 2016-1
NAME: _ _(104 points total)
Circle the correct answer on the exam sheet and write it down next to the question.
The answers on the test are rounded, for example, 10.456% is rounded to 10.46%
FIN 3302 UNOFFICAL Final Review
1. What is the FV of $20,000 invested for 10 years at a 5.55% annually compounded (AC) rate?
a. $33,567.14
b. 34,325.14
c. 32,577.89
d. 29,801.91
2. What is the PV of $1,800 to be received in 10 years if discounted at an AC
Nicholas Sabzevari
Homework #1 Chapter 3
What is the duration of a two-year bond that pays an annual coupon of 10 percent and has a current yield
to maturity of 12 percent? Use $1,000 as the face value.
o This bond has a duration of 1.95 years
What is the
Problem 3 From Homework #1
What is the duration of a four-year bond with a 10% coupon yielding 11.5%
Periods
1
2
3
4
Cash Flows
$ (100.00)
$ (100.00)
$ (100.00)
$ (1,100.00)
PV of CF
$92.59
$85.73
$79.38
$808.53
Period * PV
$
92.59
$ 171.47
$ 238.15
$ 3,2
Nicholas Sabzevari
Chapter 3 Lecture Problems
All bonds are assumed to be annually paying bonds.
Calculate the present value of a $1,000 zero-coupon bond with 5 years to maturity if the required annual
interest rate is 6%.
o PV = $747.26
A lottery claims
Homework #2 - Chapter 6
1) What is the definition of the efficient market hypothesis?
a. Efficient market hypothesis also referred to as the theory of efficient capital markets, gives the
price of securities in financial markets using all available inform
Chapter 13
Stock Market Homework #5
4-Suppose Soft People, Inc. is selling at $19.00 and currently pays an annual dividend of $0.65 per share.
Analysts project that the stock will be priced around $23.00 in one year. What is the expected return?
24.47%
5-
Homework #2 - Chapter 6
1) What is the definition of the efficient market hypothesis?
a. Efficient market hypothesis also referred to as the theory of efficient capital markets, gives the
price of securities in financial markets using all available inform
FINANCE 3305 MONEY, MARKETS AND INSTITUTIONS
TEST #2 FALL 2016
NAME: _ _A_
Please circle the correct answer and write the letter answer next to it.(Each question is worth 6.67 points)
1- In the United States control of the money supply is given to:
A) The
Finance 3302
First Test, Fall Semester 2016
A common mistake is to enter the number of periods in one unit, and then enter the interest rate using a different
time unit.
Write you name on both test and Scantron and turn both in. Please!
NAME:_
SELECT THE
Homework Problems for Chapters 8 & 9
Information for 2-5.
2) Your first job after graduation is in the corporate finance department of a Fortune 500 firm.
The firm wants to raise $10 billion in funds and asks you to compute the cost of preferred, the
cost
Homework #4 Bond Markets Chapter 12
1-A bond pays $80 per year in interest (8% coupon). The bond has 5 years before it matures at which time it will pay $1,000.
Assuming a discount rate of 10%, what should be the price of the bond?
Present Value = $924.18
CHAPTER 3 NEW PROBLEMS
UNDERSTANDING FINANCIAL STATEMENTS
AND CASH FLOW
3-1.
WORKING WITH INCOME STATEMENT
DATA
Net income
Shares outstanding
$280,000
80,000
Solution
Earnings per share
$3.50
3-2.
WORKING WITH INCOME STATEMENT
DATA
Sales
Cost of goods sol
CHAPTER 11 PROBLEMS
CASH FLOWS AND OTHER TOPICS IN CAPITAL BUDGETING
PROBLEM 11-1
RELEVANT CASH FLOWS
DATA
New Sales
Former customers % of sales
25,000,000
20%
Relevant Sales Level
20,000,000
PROBLEM 11-2
CONSIDERATION OF SUNK AND OPPORTUNITY COSTS
See IM
CHAPTER 5 PROBLEMS
THE TIME VALUE OF MONEY
PROBLEM 5-1
COMPOUND INTEREST
A)
Invest
Years
Percent
FV =
B)
Invest
Years
Percent
FV =
C)
Invest
Years
Percent
FV =
D)
Invest
Years
Percent
FV =
5,000
10
10%
12,969
8,000
7
8%
13,711
775
12
12%
3,019
21,000
5
5%
57854ec95188531aa566100acd9b8ff28be3f121.xlsx
CHAPTER 6 PROBLEMS
THE MEANING AND MEASUREMENT OF RISK AND RETURN
PROBLEM 6-1
EXPECTED RETURN AND RISK
DATA
Probability
Return
0.1
0.2
0.3
0.4
-10%
5%
10%
25%
Solution
Investment A:
Prob X Return
Prob x Dev Sq
74540ee87a377d43ac5d6bdbbf1080532c5478e6.xlsx
CHAPTER 14 PROBLEMS
Short-Term Financial Planning
PROBLEM 14-1
FINANCIAL FORECASTING
DATA
Sales
Net profit
12/31/2015
12,000,000
1,200,000
Balance sheet
Asset
Current assets
Net fixed assets
Total
Liabilities
223a0c3b118c7fb727a2e88c38db9f0e68a60158.xlsx
CHAPTER 4 PROBLEMS
EVALUATING A FIRM'S FINANCIAL PERFORMANCE
PROBLEM 4-1
EVALUATING LIQUIDITY
DATA
Target current ratio:
Current assets
Current Liabilities
2
2,145,000
858,000
Additional Inventories =
429,000
CHAPTER 10 PROBLEMS
CAPITAL-BUDGETING TECHNIQUES AND PRACTICE
PROBLEM 10-1
IRR CALCULATIONS
A)
Initial outlay
FV
Years
IRR =
B)
Initial outlay
FV
Years
IRR =
C)
Initial outlay
FV
Years
IRR =
D)
Initial outlay
FV
Years
IRR =
10,000
17,182
8
7%
10,000
48,07
CHAPTER 8 PROBLEMS
VALUATION AND CHARACTERISTICS OF STOCK
PROBLEM 8-1
PREFERRED STOCK VALUATION
DATA
Dividend rate
Par value
Discount rate
16.0%
$100.00
12.0%
Present Value =
$133.33
16
PROBLEM 8-2
PREFERRED STOCK VALUATION
DATA
Dividend rate
Par value
Di
CHAPTER 7 PROBLEMS
VALUATION AND CHARACTERISTICS OF BONDS
PROBLEM 7-1
BOND VALUATION
DATA
Years
Face value
20
1,000
Interest
8.0%
ROR
7.0%
Present Value =
80
847.52
258.42
1,105.94
PROBLEM 7-2
BOND VALUATION
DATA
Years
Face value
14
1,000
Interest
2.0%
RO
0dc839eeb0449d2708501477da0856546e867d17.xlsx
A
B
C
D
1
CHAPTER 16 PROBLEMS
INTERNATIONAL BUSINESS FINANCE
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
Selling Quotes for Foreign Currencies in New York
Contract
Country
per day
Canada - dollar
Spot
30
90
Japan - y