Questions Uploads

Finance

/in /by

Question

Finance homework
Question 1.A stock with a beta has an expected rate of return of

160000  If the market return this year turns out to be 10 percentage points below expectations, what is your best guess as to the return n the stock

Q.2.

The risk free rate is 3% and the expected rate of return on the market portfolio is 8%

a. Calculate the required rate of return n a security with a beta 2.16(Do not round intermediate calculations. Enter your answer as a % rounded to 2 decimal places)

If the security is expected of return is 13%, is it over priced?

Q3.

A share of stock with a beta of 0.65 now sells for $40. Investors expect the stock to pay a year-end dividend of 042. The T-bill rate is 6% and the market risk premium is 9%. If the stock is perceived to be fairly priced today what must be investors’ expectation of the price of the stock at the of the year? (Do not round intermediate calculations. Round your answer 2 decimal places)

Q4.

A share of stock with a beta of 0.77 now sells for $50. Investors expect the stock to pay a year-end dividend of $3. The T-bill rate is 4% and the market risk premium is 8%.

a. Suppose investors believe the stock will sell for %52 at year-end . Calculate the opportunity cost of capital. is the stock good or bad? what will investors do? (Do not round intermediate calculations. Round your opportunity cost of capital calculation as a whole percentage rounded to 2 decimal places)

Opportunity of capital ?

The stock is …………….. buy and investors……………..?

b. At what price will the stock reach an ” equilibrium ” at which it is perceived as fairly priced today? ( Do not round intermediate calculations. Round your answer to 2 decimal places)

Q5.

We do Bankruptcies is a law firm that specializes in providing advice to firms in financial distress. It prospers in recessions when other firms are struggling. Consequently, its beta is negative, -0.3 .

a. If the interest on T-Bills is 4% and the expected return on the market portfolio is 14% , what is the expected return shares of the law firm according CAPM?

expected return………………?

B. Suppose you invested 70% of  your wealth in the market portfolio and remainder of your wealth in the shares in the law firm. What would be the beta of your portfolio?

(Do not round intermediate calculations. round your answer to 2 decimal places)

 
Looking for a Similar Assignment? Order now and Get 10% Discount! Use Coupon Code "Newclient"

Olympic Sports has issues of debt outstanding

/in /by

Question

Question 3.Olympic Sports has issues of debt outstanding. One is 7% coupon bond with a face value of

30million, a maturity of 15years, and a yield to maturity of 8$. the coupons are paid maturity. The other bond issue has a maturity of 20 years with coupons also pad annually, and a coupon rate of 8%. The face value is $35million, and the issue sells for 94% of per value. The firm’s tax rate is 30%.

a. what is the before tax cost of debt for Olympic?(Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal.

b. What is Olympic’s after-tax cost of debt

Question 6.

Icarus Airlines is proposing to go public, and you have been given the task of estimating the value of its equity. Management plans to maintain debt at 27% of the company’s present value, and you believe that at this capital structure the company’s debt holders will demand a return of 5% and stockholders will require 12%. The company is forecasting that next year’s operating cash flow (depreciation plus profit after tax at 40%) will be $65 million and that investment in plant and net working capital will be $27million. Thereafter, operating cash flows and investment expenditures are forecast to grow in perpetuity by 4% a year.

a. What is the total value of Icarus? (Do not round intermediate calculations. Enter your answer in millions rounded to the nearest whole dollar amount.)

b. What is the value of the company’s equity? (Do not round intermediate calculations. Enter your answer in millions rounded to 1 decimal place.)

 
Looking for a Similar Assignment? Order now and Get 10% Discount! Use Coupon Code "Newclient"

General Matter’s outstanding bond issue has a coupon rate of 10.4%

/in /by

Question

General Matter’s outstanding bond issue has a coupon rate of 10.4%, and it sells at a yield to maturity of 8.50%.

The firm wishes to issue additional bonds to the public at face value. What coupon rate must the new bonds offer in order to sell at face value?

Coupon rate = _______%

 
Looking for a Similar Assignment? Order now and Get 10% Discount! Use Coupon Code "Newclient"

I need a picture or drawling of what the GUI will look like and a flowchart

/in /by

Question

I need a picture or drawling of what the GUI will look like and a flowchart. Can’t seem to get it

going. Objectives

Developing a graphical user interface in programming is paramount to being successful in the business industry. This project incorporates GUI techniques with other tools that you have learned about in this class.

Here is your assignment: You work for a flooring company. They have asked you to be a part of their team because they need a computer programmer, analyst, and designer to aid them in tracking customer orders.  Your skills will be needed in creating a GUI program that calculates the flooring cost and stores the order in the database.

The project has three components: an analysis and design document, the project code, and a user manual. The analysis and design document is due Week 4. The code and user manual are due in Week 7. It is suggested that you begin working on the code in Week 5, which should give you ample time to complete the project. You will find that the lectures and lab assignments will prepare you for the Course Project.Guidelines

Your application must include at least three tabs. The user will choose wood flooring or carpet, enter the length and width of the floor, as well as the customer name and address. The application will compute the area of the floor and the cost of the flooring considering that wood floor is $20 per square foot and carpet is $10 per square foot. A summary should be displayed, either in a tab or another window, listing the customer name and address, floor selection, area, and cost. This information should also be stored in the MySQL database table. The program should validate that all information is entered and that the length and width are numeric values. Any numeric or currency values must be formatted appropriately when output. Recommendations for the components used for input are

  • radio buttons—flooring type (wood or carpet);
  • text fields—customer name, customer address, floor length, and floor width; and
  • buttons—calculate area, calculate cost, submit order, display order summary, display order list.

The MySQL database table is called flooring and has the following description.

 FieldType
CustomerName
varchar(30)
CustomerAddressvarchar(50)
FlooringType
varchar(10)
FloorArea
double
FloorCost
double

In addition to entering new customer orders, your application should list all customer orders stored in the database. These will be viewed as a list, in a text area, and will not be updated by the user.  

 
Looking for a Similar Assignment? Order now and Get 10% Discount! Use Coupon Code "Newclient"