Capital Budgeting Chapter 1
Chapter Seventeen
Capital Budgeting and Long Term Resource Allocation
Almost every business firm faces decisions regarding an investment that will result
in cash flows occurring over an extended period of time. An obvious examp
FIN 3424-Intermediate Finance Chapter 3 Commercial Mathematics
Chapter Ten
COMMERCIAL MATHEMATICS I
Financial institutions such as commercial banks, savings and loan associations, and
credit unions, provide loans to individuals and corporations and offer
FIN 3414-Intermediate Finance Chapter 11 Commercial Mathematics
Chapter Eleven
Commercial Mathematics II
In the previous chapter, we developed the general loan pricing formula and used
those formulae to develop special cases. Here in this chapter we provi
FIN 3403 (Financial Management)
Answer Key Sample Test II
Name
:_
Panther ID
:_
Instructions
1.
The test covers Chapters 6,7,8 and 9.
2.
You can use a formula sheet with formulas only (both sides of a regular A4 paper, could be
printed and/or handwritten)
FIN 3403 U02
CAPITAL BUDGETING (HANDOUT)
First of all, I will answer questions in class, no e-mails. You must attend the class to ask questions.
Please bring a copy of this handout to next class.
This document is designed for FIN 3403 students to prepare
FIN 3403-U02-Financial Management
Monday 14:00-16:45, (Room: CBC 155)
GENERAL INFORMATION
INSTRUCTOR INFORMATION
Instructor:
Ali G. (Gungoraydinoglu)
Office:
RB 225B (Ryder Building)
Office Hours:
Friday 11:00-11:50, 13:00-13:50
E-mail:
agungora@fiu.edu
F
Intermediate Financial Management
1
2
Chapter Seven
3
4
CONTINUOUS COMPOUNDING
5
6
In previous sections, the case of m compoundings per year was discussed. In the
case of continuous compounding, m is allowed to tend to infinity. The mathematical
relations
Capital Budgeting Chapter 3
Chapter Nineteen
CAPITAL BUDGETING TECHNIQUES
In general, the capital budgeting techniques can be categorized into two groups:
those that do use discounting techniques (the time value of money) and those that do not.
Methods th
Chapter Eight
1
2
3
4
5
6
7
8
9
10
11
12
13
14
SPECIAL TOPICS IN TIME VALUE OF MONEY
In this and following chapter we deal with some of the unconventional topics that are
usually not found in the time value of money chapters in standard finance textbooks.
Capital Budgeting Chapter 2
Chapter Eighteen
THE COST OF CAPITAL
The rate of return required by investors of a firm is called the cost of capital. Since
there are many types of investors and investment vehicles (e.g., debt common stock, and
preferred stoc
COMPUTATIONAL PROBLEMS: CAPITAL BUDGETING
(Chapters 17 20)
1. Sri Ganesh Prasad, Inc., a manufacturer of microcomputer chips, is currently using a
process called CTX700 to make computer chips. The process was installed five
years ago at a cost of $1.2 mil
Intermediate Financial Management
1
2
Chapter Six
3
THE TIME VALUE OF MONEY WITH MORE THAN ONE COMPOUNDING
PER YEAR
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
Unlike the previous section where the compounding interval was annu
Page 1 of 10
Do NOT think that only the questions types in this sample test are important. This sample test is posted to give you an
idea about the length, scope and the nature of the test. You should be comfortable in solving questions given in the textb