Reference no: EM132158901
Questions -
1. What is the ‘Unanimity Principle'?
2. Explain the economist's definition of profit?
3. How does FIFO and LIFO (cost of goods pricing techniques) tie in to the difference between the definition of profit from an accountant and an economist?
4. What is the optimum value of a capital budgeting technique? What effect should the best (most effective) technique have? What are the most prevalent techniques used? Their strengths and weaknesses?
5. What is the ‘reinvestment rate'?
6. What is the Capital Pricing Model (CAPM)?
a. Who developed the model?
b. How is it used?
c. What are its applications?
d. What empirical tests have been done?
7. What is the Arbitrage Pricing Theory (APT)?
a. Who developed the model?
b. How is it used?
c. What are its applications?
d. What empirical tests have been done?
8. What is the Market Risk Premium?