Analysis of actual financial market evidence

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Reference no: EM131233739 , Length: word count:1500

MANAGERIAL FINANCE Individual Essay Assignment

You must select one of the following three essay topics. Write on Topic B.

Topic A: Financial statement analysis has long been a major instrument to predict the probability of bankruptcy of firms. However, significant corporate scandals like the bankruptcy of Enrol, Worldcom and Lehman Brothers have revealed that financial statements are not reliable to estimate the firm's default (bankruptcy) risk. Use the supporting evidence from journal articles and discuss whether corporates need a new approach to bankruptcy prediction.

Topic B: Financial market regulators worldwide recently imposed short selling restrictions on financial securities. The primary purpose of this was to curb excess stock price volatility. Discuss if these restrictions successfully achieved their purpose. Use supporting evidence from journal articles together with your own analysis of actual financial market evidence.

Topic C: Negative gearing occurs when an asset (e.g. a house or share portfolio) is financed largely by a loan and the periodic interest payments on the loan exceed the income produced by the asset in the same period (e.g. monthly interest exceeds monthly rent receipts or monthly share dividend yield). Explain the advantages and disadvantages of such arrangements in terms of risk and return, especially in the context of increasingly volatile market conditions. Illustrate your answer with example calculations and references to the journal articles and financial press.

Reference no: EM131233739

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Reviews

len1233739

10/7/2016 5:19:20 AM

The essay MUST be completed individually. You must address all the questions of the topic chosen, and build up your own argument from reading the relevant journal articles and news articles in the financial press. At least 6 journal articles should be included. The maximum length of the essay (including abstract, body text, in-text citation and reference list) is 1,500 words. Essays exceeding the word limit will be penalised with 10% penalty. An abstract of no more than 200 words is to preface the essay.6. The essay should follow the structure including Abstract, Introduction, Body text, Conclusion and the Reference List. All essays must include a list of references in academic form using the Harvard citation style. All sourced material, including direct quotations, must be appropriately acknowledged. Use your own words. Reference wherever necessary.

len1233739

10/7/2016 5:19:00 AM

Total 1500 words and I want you to write on Topic B, second topic please another fact is that I also have to submit hardcopy of 6 journal articles which should be academic (having Volume No abstract and all other characteristics that an academic journal should have) and even I have to highlight the sentences in article from where I paraphrase or copy. So please also provide me the 6 academic journal articles highlighting the copied or paraphrased sentences. Provide the background of the topic. Appropriate use of Harvard style referencing within the essay (in-text referencing) and in the list of references, including listing references in the alphabetical order of authors' surname.

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