What is the value of the security to an investor, Financial Management

Assignment Help:

What is the Value of the security to an investor

Value of the security to an investor is directly proportional to the return that he is expected to get from that security. Higher the return expected, higher is the value. However what are we going to do with the value of the security?  Well, value of security is the price that you are going to pay for that security.  This means that present value of the security is that value which is dependent on return from security and the risk profile of that security


Related Discussions:- What is the value of the security to an investor

How foreign subsidiary’s financial structure become relevant, Under what ci...

Under what circumstances will the foreign subsidiary’s financial structure become relevant? The subsidiary’s own financial structure will become applicable when the parent firm

Credit limit decision-bajaj electronics company case study , how would you ...

how would you judge the potential profit of bajaj electronics on the first year of sales to booth plastics and give your suggestion regarding credit limit.Should it be approved or

Determine the expected return and risk of investing, Question: The stoc...

Question: The stock of Bax Limited performs relatively well to other stocks during recessionary periods. The stock of Pax Limited, on the other hand, does well during growth

What do you mean by average cost and marginal cost, Q. What do you mean by ...

Q. What do you mean by Average Cost and Marginal cost? Average Cost and Marginal cost: the average cost is the combined cost as explain above, but for the difference in the for

Explain the average rate of return method, Q. Explain the Average Rate of r...

Q. Explain the Average Rate of return Method? Average Rate of return Method (ARR): This method is as well known as Accounting Rate of Return Method. It is on the basis of accou

#titleEvaluate alternative hedging strategies, Peak Inc. needs to order Can...

Peak Inc. needs to order Canadian raw materials to use in its production process. The Canadian exporter typically invoices Peak in Canadian dollars. Assume that the current exchang

Define the meaning of earn out arrangements, Earn out arrangements   C...

Earn out arrangements   Consideration could be delayed and paid only upon achievement of certain criteria. For illustration the predator company may pay additional cash if acq

Periodic system, limitations of using a periodic inventory system

limitations of using a periodic inventory system

Define coefficient of variation often a better risk measure, Why is the coe...

Why is the coefficient of variation often a better risk measure when comparing different projects than the standard deviation? While we want to compare the risk of investments whi

Institutional clearing member, Institutional Clearing Member (ICM) A Fi...

Institutional Clearing Member (ICM) A Financial Institution has to subscribe to at least 100 equity shares of Rs.10,000 each to become an Institutional Clearing Member of COFEI

Write Your Message!

Captcha
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