Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
1. Several types of risk are present in the American economy. For each of the following, identify the type of risk that is present. Explain your answer. a. The Department of Homeland Security alerts the nation of a possible attack by terrorists. b. A house may be severely damaged in a fire. c. family head may be totally disabled in a plant explosion. d. An investor purchases 100 shares of Microsoft stock. e. A river that periodically overflows may cause substantial property damage to thousands of homes in the floodplain. f. Home buyers may be faced with higher mortgage payments if the Federal Reserve raises interest rates at its next meeting. g. A worker on vacation plays the slot machines in a casino. 2. There are several techniques available for managing risk. For each of the following risks,identify an appropriate technique, or combination of techniques, that would be appropriate for dealing with the risk. a. A family head may die prematurely because of a heart attack. b. An individual's home may be totally destroyed in a hurricane. c. A new car may be severely damaged in an auto accident. d. A negligent motorist may be ordered to pay a substantial liability judgment to someone who is injured in an auto accident. e. A surgeon may be sued for medical malpractice. f. An individual may be forced to declare bankruptcy because he or she cannot pay catastrophic medical bills. 3. Andrew owns a gun shop in a high crime rate area. The store does not have a camera surveillance system. The high cost of burglary and theft insurance has substantially reduced his profits. A risk management consultant points out that several methods other than insurance can be used to handle the burglary and theft exposure. Identify and explain two noninsurance methods that could be used to deal with the burglary and theft exposure.
What will the portfolio's new beta be after these transactions? Do not round intermediate calculations. Round your answer to two decimal places.
Healthy Foods, Corporation, sells fifty pound bags of grapes to the military for $10 a bag. The fixed costs of this operation are $80,000, while the variable costs of the grapes are $.10 per pound.
Select your favorite financial site on the web. Go there and see the stock price for Coca Cola for the 1st trading day in March and April of this year. Create a trend line slope
Ebenezer Scrooge has invested 60 percent of his money in share A and the remainder in share B. He assesses their prospects as follows:
Classify the following events as mostly systematic or mostly unsystematic and tell us why. Is the distinction clear in each case?
The firm also has a total of $10,000,000 (par value) is debt outstanding. The debt is in the form of bonds with 10 years left to maturity. They pay semi-annual coupons at a coupon rate of 12% Currently, the bonds sell at %110 of par value.
Explain trend of interest rates and describe the trend of interest rates over the last several years
Steve Smith, owner of Steve's Bowling Alley, generated $30,000 in sales for the month of January. "Regular" customers are allowed to play on account.
At the end of the year, net fixed assets were $21,140, current assets were $3,440, and current liabilities were $2,080. The tax rate for 2014 was 35 percent.
A corporation's stock sells at a P/E ratio of 21 times earnings. It is expected to pay dividends of $2 each share in each of the next 5 years and to generate an EPS of $5 in five years.
As loan analyst for Utrillo Bank, you have been presented the following data: Each of these corporations has requested a loan of $50,000 for 6 months with no collateral offered.
Stock X has a standard deviation of return of 10 percent. Stock Y has a standard deviation of return of 15 percent. The correlation coefficient between stocks is 0.5.
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd