-Briefly describe why book values are inadequate for determining the intrinsic values of
-Briefly describe why a zero coupon bond typically trades at a deep discount to its face
-Briefly define the concept of opportunity costs and explain the relevance of such costs
in the context of project evaluation.
-Briefly define sunk costs and explain why they are irrelevant in the context of project
-Describe the likely viewpoints of each of the following managers about the levels of
various types of inventory: finance, marketing, manufacturing, and purchasing? Which
viewpoint of which manager, you suggest, should be adopted? Why?
This question was asked on Oct 31, 2011 and answered on Nov 01, 2011.
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