THE 2008 FINANCIAL CRISIS
NAVA, 1
The 2008 Financial Crisis
GSB 615 Financial Management
Dominican University Spring 2017
Daisy Nava
THE 2008 FINANCIAL CRISIS
NAVA, 2
Jordan Belfort from the 2013 five time Oscar Nominated Movie Wolf on Wall Street said:
A
GSB 615 Financial Management - Chapter 3 Homework Answers
Questions
3-7
Free cash flow is the amount of cash that could be withdrawn from the firm without
harming its ability to operate and to produce future cash flows. It is calculated as
after-tax opera
Daisy Nava
GSB 615 Financial Management
Chapter 4, Questions 6,7,8; problems 1-10
QUESTIONS
6.) If a firms ROE is low and management wants to improve it, explain how using more debt might help.
If a company wants to improve their ROE by using more debt, t
Questions: 4
Problems: 1, 3, 5, 8, 9, 11
Questions:
4.) Suppose a firm estimates its WACC to be 10%. Should the WACC be used to evaluate all of its
potential projects, even if they vary in risk? If not, what might be reasonable costs of capital for
averag
GSB 615 Financial Management - Chapter 7 Homework Answers
Questions
7-8
a. If a bonds price increases, its YTM decreases.
b. If a companys bonds are downgraded by the rating agencies, its YTM increases.
c. If a change in the bankruptcy code made it more d
GSB 615
Quiz #2 Spring 2017
Name(s): _
Precision Tools Inc. has provided the following financial statements; use them to answer questions 1-4.
1. What is the change in net working capital from 2012 to 2013?
A. $1,028,057
B. $1,259,078
C. $1,572,882
D. $1,
GSB 615 Finance
Spring 2017
Name(s):_
In-Class Assignment #2: Interest Rates & Bond Prices
Assignment: Complete the following 8 part assignment using the information below. Please
show your work and calculator inputs. Be sure that you pay attention to the
GSB 615
Quiz #3 Spring 2017
Name: _
1. Bron Bron Corporation is expecting free cash flows during this next year (year 1) to be $10 million.
For the following four years they expect it to grow by $8 million each year, and then achieve 5% constant
growth ev
615 Financial Management - Quiz #1
Spring 2017
Name: _
1. Bobo invested $9,250 in an account that pays 6 percent simple interest. How much more could he have
earned over a 5-year period if the interest had compounded annually?
A. $353.59
B. $483.58
C. $60
Daisy Nava
April 26, 2017
Chapter 8 problems 2, 3, 5, 7, 11
2.) Comment on the following: All of wisdom contained in the five-forces framework is reflected in the
economic identity:
Profit= (Price- Average Cost) x Quantity
Porters five forces framework id
Daisy Nava GSB 621 Week 5 HW
April 11, 2017
chapter five problems#1,3,4,10,11
1.) Why are the concepts of own and cross-price elasticities of demand essential to competitor
identification and market definition?
The level of customer responses to changes a
Daisy Nava
GSB 621
April 19, 2017
Chapter 6: 1, 4, 8
1.) Researchers have found that industries with high entry rates tended to also have high exit rates. Can
you explain this finding? What does this imply for the pricing strategies of incumbent firms?
In
Daisy Nava
April 21, 2017
GSB 621
Stigler Article Analysis
George Stigler talks about the predicament how the division of labor is partially
completed by the market or by industries that are monopolized. According to Stigler,
neither of these dilemmas are
Daisy Nava
GSB 621
March 13, 2017
Problems: Intro #1, 4
1. What are the distinctions among fixed costs, sunk costs, variable costs, and marginal costs?
a. Some distinctions between fixed costs, sunk costs, variable costs, and marginal costs
vary. With var
Daisy Nava
April 5, 2017
GSB 621
Chapter 4 problems: 3, 5, 10, 13, 14
3.) Integrated firms are more efficient than independent firms if the central office is more efficient than
the courts. Explain this statement. To what extent do you agree?
In a firm, t
Daisy Nava
March 29, 2017
GSB 621
chapter three problems #2,6,7,8,15
2.) A manufacturer of pencils contemplates backward integration into the production of rapeseed oil, a
key ingredient in manufacturing the rubberlike material (called factice) that forms
Daisy Nava
GSB 621
Chapter 2: 2, 3,6,7,& 10
2.) Economies of scale are usually associated with the spreading of fixed costs, such as when a
manufacturer builds a factory. But the spreading of fixed costs is also important for economies of scale
associated
INTEROFFICE MEMORANDUM
TO:
MR. CUNNINGHAM
FROM:
DAISY NAVA
SUBJECT:
DEFENSIVE INVESTOR-BETA ANALYSIS
DATE:
Introduction:
Good day. I would like to thank you for permitting me to analyze the risk characteristics of stocks for
Wells Fargo. To recall from ou
Problem #1: What is the probability that a co-worker is a smoker? Suppose that your company is concerned about health
care costs for older employees in one of its divisions. The company distributes a survey and collects information on the
following:
1. Ag
Problem #1: Over the past few years, the percentage of students who leave Lakeland College at the end of the first year
has increased. Last year, Lakeland started a voluntary one-week orientation program to help first-year students adjust to
campus life.
Problem #5: (Empirical Rule versus Chebyshevs Theorem):
1. Suppose that the skew of a salary distribution is zero. The average salary for a financial analyst is $75,000 with a
standard deviation of $5,000. Calculate, using the correct distribution, a two
Problem #2: A company is concerned about the health care costs of its employees. It purchases a computer program to
predict an employees risk factor associated with poor health. The risk factor is a number between 0 (low risk factor)
and 100 (high risk fa
Question #7:
A sample of 30 cookies is taken to test the claim that each cookie contains at least 9 chocolate
chips. The average number of chocolate chips per cookie in the sample was 7.8 with a standard
deviation of 3. Using a 10% level of significance,
Daisy Nava GSB 613 09/18/2016
City
Bank Name
Count of Year
Row Labels
WV
TX
TN
SC
PA
OK
NV
NJ
NC
MO
MN
MI
MD
KS
IN
IL
GA
FL
CA
AR
AL
Grand Total
(All)
(All)
Column Labels
2008
1
2
2012 Grand Total
1
2
3
2
2
1
3
1
1
6
5
2
2
2
1
9
15
10
6
1
1
76
3
2
2
1
3
1
Problem #4: Do larger companies generate more revenue? The following data show the number of employees and
annual revenue for a sample of 20 Fortune 1000 companies. (See Revenue file)
1. Is this cross-sectional or time series data? Cross-sectional
2. Prep
Problem #3: Using the five-step process developed in class, complete the following problem. Show all your work: Many
grocery stores and large retailers, such as Wal-Mart and Kmart, have installed self-checkout systems so shoppers can
scan their own items