Stock Fund
Scenario
Severe recession
Mild recession
Normal growth
Boom
Probability
0.05
0.25
0.40
0.30
Return
-37.00
-11.00
14.00
30.00
Expected
Return
Column
B*C
-1.85
-2.75
5.60
9.00
Deviation from
mean return
-47.00
-21.00
4.00
20.00
10.00
Bond Fund
Sc
9 Feb Lecture
Securities markets (aswa2 el mal aw el borsa): two types: primary market and secondary market
Primary market is the place where you issue new stocks and bonds . When the company issues
stocks or bonds for the public for the first time it tak
13 Feb 2017
Today, were gonna focus on the secondary market elleheya el borsa el 3adeya.
Secondary market
Trading and settlement in EGX: (trading in stock market mean in secondary market)
The first step to trade in the stock market is to use a unified cod
16 Feb Lecture
Time value of money: Present value and future value.
Example) which is better? To give you 10 million pounds after 7 years from now or give you 1
million pounds today? While the interest rate (r) is 20% ? which is better I still dont
unders
20 Feb 2017
Present value: there is an amount of money that youre going to receive in the future and you
want to know what is the value of this amount of money in the present time. It also has to be an
inflow of money: you receive cash. Present value can
SUMMARY OUTPUT
Regression Statistics
Multiple R
0.5439572235
R Square
0.295889461
Adjusted R Square
0.2078756436
Standard Error
48.917835674
Observations
10
ANOVA
df
Regression
Residual
Total
Intercept
X Variable 1
SS
MS
F
Significance F
1 8044.760263602
SUMMARY OUTPUT
Regression Statistics
Multiple R
0.3640659681
R Square
0.1325440291
Adjusted R Square
0.1175878917
Standard Error
8.3441553562
Observations
60
ANOVA
df
Regression
Residual
Total
Intercept
X Variable 1
SS
MS
F
Significance F
1 617.028869301
Stock
A
B
C
PriceB
$10
50
140
Index day0
Index day1
QuantityB
40
80
50
66.67
63.33
Adjustment of divisor
New Divisor
2.63
Index day1
72.38
Change
8.57%
P1
Q1
$15
40
25
160
150
50
Problem?
Stock
PriceB
A
B
C
QuantityB
$10
50
140
40
80
50
Market cap day0
Ma
This RRA Calculator can be used to estimate your "Relative Risk Aversion" (RRA).
Suppose that you are the only income earner in your family and you have a good job guaranteed to give you your cu
with a 50 percent chance that it will double your family inc
Steps to solve an optimization problem:
If price data are given for different stocks:
1. List price data in columns. Each stocks data is listed in a separate column.
2. Calculate daily monthly return by creating a new column labeled return. Write in the c
23 Feb Lecture
Excel- second lecture:
All these things will be given except the auto sum. Which project is better?
To determine which project is better, get the present value for both projects and the project with
the higher present value is the better pr
First Lecture
Investment Alternatives consist of: money market and capital market.
T-bond (capital market): a bond issued by the government. (this is not coming in the first exam).
Bond: borrowing from the public (1 bond is 100 pounds). The company is obl
Maturity
7/9/2015
Bid
Asked
0.05%
0.04%
Face Value
10,000
Bid: Price at which dealer buys
Asked: Price at which dealer sells
Bid<Asked because the spread is the dealer's profit
Asked Yield: Bond yield equivalent (assumes you buy T-bill And hold till matur
Second Lecture
Distinction between Stocks and Bonds
Money market: T-bills
Capital market: stocks and bonds. Why would you issue them? To have access to finance or
money.
Stocks: (as-hom) a stock is an ownership. Ka2eni badakhal shoraka zeyada. (stockholde
Session 1639
ENGINEERING ECONOMY - A Historical Perspective
Gerald J. Thuesen, William G. Sullivan
Georgia Institute of Technology/Virginia Polytechnic Institute and State
University
The purpose of this paper is to acquaint the reader with the accomplishm
Chapter 3
Job-Order Costing
Solutions to Exersises
Exercise 3-1 (10 minutes)
The estimated total manufacturing overhead cost is computed as follows:
Y = $466,000 + ($3.00 per DLH)(40,000 DLHs)
Estimated fixed manufacturing overhead .
Estimated variable ma
Review Session
1. _ is an example of an agency problem.
A. Managers engage in empire building
B. Managers protect their jobs by avoiding risky projects
C. Managers over consume luxuries such as corporate jets
D. All of the answers provide examples of agen
Final Review Session
1. According to the liquidity preference theory of the term structure of interest rates an increase
in the yield on long term corporate bonds versus short term bonds could be due to _.
A. declining liquidity premiums
B. expectation of
2
Long-Term Liabilities
LEARNING
LEARNINGOBJECTIVES
OBJECTIVES
After studying this chapter, you should be able to:
1.
Describe the formal procedures
associated with issuing long-term debt.
2.
Identify various types of bond issues.
3.
Describe the accounti
Exam
Name_
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.
Madeleine allows herself $100 per month for purchasing coffee. The diagram below illustrates the choices available to her.
FIGURE 1-3
1) Refe
Sample Problems from Class:
2. Consider the general demand function:
Qd 710 25P 0.25M 14PR
a. Derive the equation for the demand function when M = $50,000 and PR = $15.
b. Interpret the intercept and slope parameters of the demand function derived in part
Managerial
Economics
BY
Dr. Hoda Abdelhamid
Managerial
Economics
Pricing & Output Decision
Chapter 9
Pricing & Output
Decisions In Perfect
Competition
The Basic Business
Imagine a firm
Decision
: that is considering entry into a
market that is perfectly c
Consider a price-taking firm that has total fixed cost of $50 and faces a market-determined price
of $2 per unit for its output. The wage rate is $10 per unit of labor, the only variable input. Using
the following table, answer the questions below.
(1).
U