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How does continuous compounding benefit an investor?
The effect of enhancing the number of compounding periods per year is to increase the future value of the investment. The more often interest is compounded, the larger the future value. The minimum compounding period is used when we do continuous compounding--compounding that takes place every tiny unit of time (the smallest unit of time imaginable).
Q. Implications of Gordons fundamental valuation? Explanation: - The implications of Gordon's fundamental valuation may be as below: (1) While the rate of return of the firm
Q. Show the Supposition of MM Hypothesis? Supposition of MM Hypothesis:- (i) There are ideal capital markets. (ii) Investors act rationally. (iii) Information regardin
What is meant by a currency trading at a discount or at a premium in the forward market? Answer: The forward market includes contracting today for the future purchase or sale o
Employees' Provident Fund (EPF) The Employees' Provident Fund (EPF) Act, 1952 is the earliest legislation related to old age income security in India. It is a contributory prov
Break Even Period: It is also important to compare the returns from the equity stock and the bond to determine the profitability of both investments. Assume that the dividend p
Do you believe an increased common stock cash dividend can send a signal to the common stockholders? If so, what signal might it send? An increase in cash dividends is frequentl
Stable Money Measurement A business entity enters within numerous transactions in which affect the business in varied ways. Therefore recording, classification and summarizat
#question how to collect real irr %..
Geographical Classification of Mutual Funds : Nations' boundaries provide territorial restrictions on the sale and purchase of mutual fund units or shares as is the case in com
Discuss the applicability of an operating cycle in cabbage growing business in Uganda.
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