that happened. Feb. 1 Purchased 1,200 shares of NJF common stock for $50,600 plus brokerage fees of $1,000. Mar. 1 Purchased 500 shares of SEK common stock for $18,000 plus brokerage fees of $500. Apr. 1 Purchased 70 $1,000, 8% CRT bonds for $70,000 plus $1,200 brokerage fees. Interest is payable semiannually on April 1 and October 1. July 1 Received a cash dividend of $0.80 per share on the NJF common stock. Aug. 1 Sold 200 shares of NJF common stock at $42 per share…
Dynashears manufacturers a complete line of household scissors and industrial shears, and distributes their goods through jobbers to specialty, hardware and department stores. A cyclical business, Dynashears deals with a period of high sales during the months of July to December. By nature, cyclical businesses like Dynashears engage in short-term borring from banks to finance the additional working capital needed to support high sales periods. Dynashears is usually able to pay back its…
Investment is risk. There is no investment that is completely secure and completely safe. Stocks, Bonds, Mutual Funds, Real Estate, every investment option holds the risk of losing money. The objective of investing one’s wealth is to generate income for the future. People fear that investing their wealth is putting their future at risk, a fear is holding down the success of that wealth. Wayne Gretzky, the greatest hockey player of all time, famously said, “ You miss one hundred percent of…
Efficient Capital Markets Efficient Capital Market is basically the market where the prices of the shares indicate correct information about the stock and at the same time as well. This market efficiency can be judged by the information incorporated into it, which pertains to the value of the securities, which gives a strong indication of the price of the securities. The primary value of the stock refers to the cash flows that may be expected by a person who is the owner of the particular stock.…
a.A bond is a debt instrument which the government or an institution may issue (e.g a bank) to have direct inflow of money. Basically, it’s a security for which the issuer is obliged to pay at the end of the contract, the nominal value. In the case of bonds with a coupon payment, the payments are made at regular predetermined intervals. Therefore, a bond is simply a loan, where the issuer is the debtor and the holder is the lender, while the coupon (if exists) is the interest. The loan is…
There are many factors which go into deciding between getting a higher education and taking the starting financial manager position with a firm that has offered employment. Considerations like how to finance said education, what the starting salary is, and even compliance issues must all be addressed and analyzed before making such an important decision. I. School versus Work When deciding how to finance the school I would like to attend, the first thing I would do is check the current price of…
Introduction – the Mortgage & Finance Association of Australia Legal practitioners who advise the finance broking industry should have working knowledge of the Mortgage & Finance Association of Australia (MFAA) and its Code of Practice. MFAA is a national body providing services and representation to professional finance brokers, being mortgage brokers, finance brokers, mortgage managers and mortgage aggregators. Generally, mortgage managers are those who manage credit contracts or leases on…
What is an Investment Bank? What does he do? Why would a company use one? An investment bank is a financial company that assists well-to-do individuals, corporations, and governments in raising funds by underwriting or acting as an agent in issuing securities. An investment bank may also assist companies with mergers and acquisitions that may provide support services in trading of various securities. There are significate procedures put in place to help investment bankers regulate businesses…
TTL concern : How much revenue the company has to generate to be able to finance itself (to survive) after TTL invested capital to Gaussin? Gaussin Introduction : Gaussin Business Model Gaussin has different activities. Gaussin has been on the port activities since 1970s (the containerized boom). Gaussin went public seven years ago to finance the new business model. The idea is to make a differentiation by not focusing on volume but more focus on the differentiation by offering better…
between the Islamic Sukuk and conventional bond. Firstly, the yield differences showed that the difference of conventional bonds suffer more risk due to the nature of receiving the high yield ratio than Sukuk. Conventional bonds generate two cash flows for investors. First, the face value of which is a fixed amount of funds that the bond issuer is obligated to pay to the bondholder when the bond matures. Second, the interest is a fixed amount of funds that the bond issuer is obligated to pay to…