Diversification is wise strategy for investors

Assignment Help Financial Management
Reference no: EM132549779

Question 

Explain why diversification is a wise strategy for investors. Given the benefits of diversification, why shouldn't managers acquire firms in different industries to diversify a company?

Reference no: EM132549779

Questions Cloud

Accomplish the goals of getting employees : How can we accomplish the goals of getting employees to accept change using feedback or is it not what we should be doing?
Prepare a treasury shares for fairly company : Prepare a treasury shares for Fairly Company. On January 1, 2017, Fairly Company issued 30,000 ordinary shares with a $2 par value
Limited partnership and limited liability partnership : what the advantages might be for each: sole proprietorship, general partnership, limited partnership, and limited liability partnership (LLP).
Sometimes suppliers will not share cost data outright : As the purchaser you will have to utilize reverse price analysis, describe the formula and when would you use it?
Diversification is wise strategy for investors : Explain why diversification is a wise strategy for investors. why shouldn't managers acquire firms in different industries to diversify a company?
How do the employer payroll taxes : How do the employer payroll taxes? Withholdings in January are $130,050 for the employee portion of FICA, $255,000 for federal income tax
What is the monthly payment for choice : Choice 1: 15-year fixed rate at 4% with closing costs of $1100 and no points. What is the monthly payment for choice 1
Give an example of a strategic information system : Give an example of a strategic information system and explain what is based on to be strategic.
What the effect of the change in method on income : If the company had not switched from the FIFO method. The company's tax rate is 25%. The effect of the change in method on 20X2 income before taxes is a

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd