F650  Finance
Equities Forecasting Market Returns
Todays Class
Review of Group Project The Family
Foundation
Forecasting Market Returns
There is no text material on this
Articles: Bogle/Nolan, McKinsey, Schroders
Forecasting Market Returns
Current Ma
F650  Finance
Capital Asset Pricing Model  1
Ross Chapter 11
Todays Class
1. Chapter 11 (Ross)
Expected Return, Variance, and Covariance
Capital Asset Pricing Model (CAPM)
2. Risk Adjusted Performance Measurement
Individual Securities
The characteris
This Class
1. Lecture: Term Structure (Ross Ch.6A)
Term Structure of Interest Rates
This is Appendix 6A in Ross
Term Structure
Yield Curve
Spot Rates
Forward Rates
Term Structure of Interest Rates
Warning: To keep the math of Term Structure
easier we wil
Finance 650  Assignment 2 (Answer Key)
Equity Markets
75 points in total.
Chapter 2 Ratio Analysis
Q1) MINI CASE
Ratios and Financial Planning at East Coast Yachts
12 Poi
F650  Finance
Time Value of Money Slides  1
Ross Chapter 5
Todays Class
1.
2.
3.
4.
5.
6.
Introductions
Brief overview of todays markets
Review of Course Outline
Discussion of Group Project (5 6 / Group)
Lecture: Time Value of Money (Ross Ch.5)
Discussi
Finance 650
Group Project
The Family Foundation 
Investing in a Low Return World
Overall Project Description
You are in your late 20s and find that you have inherited sole responsibility for a
private
Bond Pricing and Term Structure
Example of Why it Matters
Term Structure & Forward Rates
Modern Term Structure Theory
Why this matters
You are preparing to sign a 25 year amortization 5
year fixed rate mortgage at a rate of 3.77%.
The mortgage will be
Finance 650 Formula Sheet
=
Professor M. Miller
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= 0 ( 1 +
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)
The formula for the present value of an annuity is:
=
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[1
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(1 + )
The formula for the present value of a growing annuity is:
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Value of
The Family Foundation
(Historical Returns Analysis)
Investment Amount
$ 1,000,000.00
Canadian Bond Weight
Canadian Stock Weight
U.S Stock Weight
EAFE Stock Weight
40.00%
20.00%
20.00%
20.00%
Credit Suise Report 20002016
Canadian Bond Returns
Canadian Sto
F650  Finance
Risk and Return Slides 2
Dimson Triumph of the Optimists
History of Risk and Return
Triumph of the Optimists
 The following Charts and Tables are from:
 Triumph of the Optimists 101 Years of Global
Investment Returns
 Published in 2002

Managerial Accounting
Tenth Canadian Edition
Connect
What You Really Need To Know
Chapter 10: Standard Costs and Variances
A. A standard is a benchmark or norm for evaluating performance. Manufacturing
companies commonly set exacting standards for materia
MBA F650 Spring 2017, page 1 of 12
MBA F650
Firms and Markets Spring 2017 Course Outline
Finance Area
DeGroote School of Business
McMaster University
COURSE OBJECTIVE
As the capstone to McMasters MBA program, this course is designed to unify your
Finance 650
Assignment 1 Time Value of Money, Bonds, Risk & Return
Due Date: Monday, May 29
100 points in total
Time Value Questions
Q1) Mr. Miser, who is 35 years old, has just inherited $11,000 and decides to use the
windfall towards his retirement. He
KEY
AQIP = Actual Quantity of Input Purchased (total)
AQIU = Actual Quantity of Input Used (total)
AQI = Actual Quantity of Input (e.g. Kg or M or L for Direct materials or Hrs for Direct Labour) (total)
API = Actual Price of Input (per unit of input)
ARI
400046301
Section 3
P720 CASE EXAM
MCDONALDS CASE
MENGQI (VERONICA) CAO
400046301
1
400046301
Section 3
With the disposable income growing and consuming preference changes, quickservice
restaurant is facing great challenges and competitions from diversif
Finance 650
Assignment 1 Time Value of Money and Bonds
Time Value Questions
Q1)
Mr. Miser, who is 35 years old, has just inherited $11,000 and decides to use the windfall
towards his retirement. He places the money in a bank, which promises a return of 6%
Finance 650  Assignment 2  Risk Return, CAPM and APT
Chapter 10
Q1)
You bought 100 shares of stock at $20 each. At the end of the year, you received a total of $400 in
dividends, and your stock was worth $2,500 total. What was your percentage rate of re
Perception and Learning in Organizations
Describe the perceptual process
The dynamics of selecting ,organizing and interpreting external
stimuli
Social identity theorywhich has become a leading perceptual
theory in OB
Description of stereotyping ,inc
Class Example: Cash Budget
On December 1, 2010, the Itami Wholesale Company is attempting to project cash receipts and
disbursements through January 31, 2011. On this latter date, a note will be payable in the amount of
$100,000. This amount was borrowed
Relevant Costing
Overview
Definitions
Attributes of Cost Information for
Decision Making
Approaches to Decision Making
Decision Problems
Class Examples
General Guidelines on Relevant
Costing
Definitions
Relevant costs
Costs that differ between decision
op
Relevant Costing
Overview
Definitions
Attributes of Cost Information for
Decision Making
Approaches to Decision Making
Decision Problems
Class Examples
General Guidelines on Relevant
Costing
Definitions
Relevant costs
Costs that differ between decision
op
Class Example
Variance Analysis
P830 (The Monthly Herald)
The Monthly Herald
The Monthly Herald budgets to produce 300,000 copies of
its monthly newspaper for August 2010. It is budgeted to
run 15,000,000 print pages in August with 50 print pages
per ne
Cash Budgets
Itami Wholesale Company
Cash Budgets
For the Month Ended December 31, 2010
Cash receipts
Collection from:
November sales
with discount
(70%x$250,000x98%)
without discount
(20%x$250,000)
50,000
(8% x $180,000)
14,400
October sales
Total cash r
Business A600  SDWEM
Student #:
Section:
Business A600
Midterm Exam
Version 2
S. M. KliMdNain
,in _ 0W 3_ _
 Possible Marks . ' Marks Earned
Section I: _
Multiplechoice questions
25 questions @ 1 mark each 25 marks
Section II:
Question 1: '
gMOM
Student #: # 5 ;
Sectionkl Z M E W
Business A600
Midterm Exam
Version 2
S. M. Khalid Nainar
Octoberzww _.
Possible Marks Marks Earned
Section I:
Multiplechoice questions
25 questions @ 1 mark each 25 marks
Section II:
Question 1:
Question 2: 1
Q
12%
Business A600
Student #2
Section:
Business A600
Midterm Exam
Version 2
S. M. Khald ainar , , , _ October 30, 2010
Possible Marks Marks Earned
Section I: _ "
Multiplechoice questions
25 questions @ 1 mark each 25 marks
Section II:
Question 1