Integrated Case on Control
September 30, 2011
Integrated Case on Control
As the new police chief of Sunny Grove, I have been given the task to solve the
operational problems of the department. The eff
An auto manufacturer advertises that 90% of the cars we have ever made are still on the road.
a. Assuming this is literally true, how can it be explained?
Assuming that this is true it can be explaine
Week 7 Niquita Gatlin
Chapter 15 Questions 15-1a, 15-3, 15-4, 15-5, and 15-8
5-1a
Capital Structure: The system or manner in which a firms assests are financed. Capital
structure is generally expresse
1
Group Project: Franklin D. Roosevelt
MNGT 5670
May 2, 2011
Franklin D. Roosevelt
Franklin Delano Roosevelt was born in 1882 and served as the thirty-second
President of the USA from 1933-1945. He be
Infomercials often peddle products under the guise of "studies show". While some of the
products are surprisingly good (e.g., FoodSaver, Foreman Grill, Ronco Rotisserie), many of the
products are not.
x
10
20
2
8
0
23
15
5
10
12
15
Descriptive statistics
count
mean
sample variance
sample standard deviation
minimum
maximum
range
x
11
10.91
50.69
7.12
0
23
23
population variance
population standard d
Chapter 16 Questions 16-1a, k, & l
a. Working Capital: current assets used in operations
Net working capital: current assets minus all current liabilities
Net operating working capital: (NWOC) current
Chapter 7 Question 7-1h
Equilibrium; The condition unde which the expected return on a security as seen by the
marginal investor is just equal to its required return
Efficient Markets Hypothesis (EMH)
11.1
a.
Equipment
NOWC Investment
Initial investment outlay
$9,000,000
3000000
$12,000,000
b. No, this will not change my answer because last year's expenditure is
a sunk cost and does not represent a
Chapter 25: Problem 1
a.
CFO = -20M, CO1 = 3, FO1 = 20, I = 13
PV Factor of 20 years annuity @13% =
1
1
(1.13) 20
0.13
= 7.02475
PV of $3 million per year for 20 years = $3 7.02475 = $21.0743
NPV =
=-
Chapter 24: Problems 1, 2, 3
24.1
Standard deviation of Stock A
Standard deviation of market
Correlation between Stock A and market
40%
20%
0.70
Park's beta
1.40
24.2
Risk-free rate
r1
r2
b1
b2
Crisp'
Ch 19 Problems 1,2,3,6
19.1
PV of 8% bond = 1000
= 1000*0.08(1+k)^20-1)/(k*(1+k)^20) +1000/(1+k)^20
k is the interest rate
k = 0.08 = 8%
PV of 6% bond = 1000
= (1000*0.06(1.08^20-1)/(0.08*1.08^20) + (
Chapter 17: Problems 1, 2, 3, 9
17.1
$1 = Mexican pesos
$1 = 111.23 Japanese yen
Cross rate=
Yen
Peso
Dollar *
peso
Yen
Dollar
= Yen
peso
=
0.1111 dollars per peso * 111.23 yen per dollar
= 12.358 yen
Chapter 8: Problems 1, 3, 4, 6
8.1
Stock price
Strike price
Market price of option
$30
$25
$7
Exercise value of option
$5.00
Time value of option
$2.00
8.3
Current stock price $15
Strike price of opti
Chapter 5 Questions 5-1b, g, k, & l
b. Par value; The nominal or face value of a stock or bond.
Maturity date; The date when the bonds par value is repaid to the bondholder.
Coupon payment; Dollar amo
Chapter 4 Questions 4-1c and i
c.
Annuity: an equal amount of cash flows paid periodically to an account for a specified period of
time
Lump-sum payment: an amount that is paid once now or at a certai
Chapter 1 Questions (not problems) 1-2, 1-3, 1-4, 1-6, 1-7, and 1-9
1-2.
Three principal forms of organizations: Proprietorship, Partnership, Corporation
Advantages of Proprietorship and Partnership:
Investing in Facebook
Facebook is an extremely extraordinary business. It is very hard to put a value on the
company within the next five to ten years from now. Facebook seem less than worthwhile as a