Reference no: EM132544890

Assume that you recently graduated with a degree in finance and have just reported to work as an investment advisor at the brokerage firm of XYZ. One of the firm's clients is Micah, a professional tennis player who has just come to Malaysia from Australia. Micah would like to start a company to produce and market apparel that she designs. She also expects to invest substantial amounts of money through XYZ. Micah is also very bright, and, therefore, she would like to understand, in general terms, what will happen to her money. Your boss has developed the following set of questions which you must ask and answer to explain the Malaysia financial system to Micah.

Question a. Why is corporate finance important to all managers?

Question b. Describe the organizational forms a company might have as it evolves from a start-up to a major corporation. List the advantages and disadvantages of each form.

Question c. Who are the providers (savers) and users (borrowers) of capital? How is capital transferred between savers and borrowers?

Question d. What are some different types of markets?

Question e. What three aspects of cash flows affect the value of any investment?