Mathematical finance

Discussion Question 1.1 Target's stakeholders, both internal and external, contribute time, capital, and other resources to sustain the business. In exchange, Target pays stock dividends, provides employment, pays vendors, and pays taxes to satisfy obligations. In essence, the stakeholder relationship influences the brand, pricing, operations, marketing, and stakeholder strategies. With a strong relationship, Target identified areas of stakeholder concern such as ethical and philanthropic…

In his pioneer model for dividend smoothing, Lintner (1956) proposed that firms in general have a long-run target payout ratio. The role of the managers is to gradually adjust firm payment of dividends toward the target. However, in this model adjustments are partial because they are not free and the firm has to incur a cost for the adjustment. The Lintner model for partial adjustment is given by: Dit – Dit-1 = ai + ci (D*it – Dit-1) + εit (1) where Dt and Dt-1 are dividend payments at…

branches additionally they use cash machines. also, they were the first bank to use plastic bank cards but The financial crisis influenced Barclays, as it did the other major UK banks but in contrast to other major UK banks, Barclays went to private finance to deal with the financial crisis without any recourse from UK Government funds(Lui,2014) Instead it elevated to a significant amount of its capital requirement from sovereign wealth funds (House of Commons,2009). it announced that” The Qatar…

New York Times published the article on October 31, 2012. Throughout the article DeFeo kept general population in his mind, but the audience he wants to catch the attention the most are people who are beginners or want to learn how to invest like finance student. He explains how learning to invest is an important life lesson. Beginner doesn’t need to be college educated to start investing, in fact, they doesn’t need to be a high school graduate. They only need to have a basic understanding of…

hard to generalize for comparatively small sized businesses in developing countries that operate within a rather undeveloped financial markets, where companies commonly depend on deeply on owner financing, trade credit, and short-term bank loans to finance their required investment in working capital (Chittenden, et. al; 1998, Saccurato, 1994). Companies offer an push to the economic growth of developing countries and its incentive is gaining widespread recognition. Small enterprises, however,…

INTRODUCTION Modigliani and Miller’s (1958) irrelevance theory of capital structure was a landmark research in the field of finance, leading to an increased interest in the corporate capital structure and its determinants amongst scholars over the following years. Essentially, Modigliani and Miller conclude that under certain assumptions, the market value of a firm and its capital structure are not related (Proposition 1). Additionally, they suggest that the expected yield of a stock share…

C6-1 Explain the concept of cash management and cash controls. It is important for companies to stress the importance of cash management and cash controls for their businesses to be successful by effectively managing its cash to meet the needs of all the obligations while making an acceptable return on any surplus cash. Having separation of employee duties is a good way in which companies can reduce theft, waste and loss to the business by having internal control over cash processes. Dual…

1.0 Introduction The goal of this essay is to trace the strategic change and directions of the Virgin Atlantic. The Virgin Atlantic is one of the leading private enterprise in the UK. Its growth since inception, has been marked with fluctuating financial performance. In the last ten years however, the growth of the company has been inconsistence with the period between 2012 and 2015 experiencing poor financial performance (Hollinger and Wild, 2015). This led to strategic moves like…

Top 7 Wealth Management Tips for Financial Stability kw: wealth management tips Meta: If you want to grow your net worth, then you need to put these wealth management tips into action. While most people are focused on becoming wealthy, it is just as important to learn how to stay wealthy. The right wealth management tips can ensure that your nest egg continues to grow for the future. Whether you want a strong retirement account or a legacy for your heirs, these tips will help you get…

In the case study of “Global Financial Crises and the Future of Securitization”, four global financial crisis have been reviewed. Although different factors precipitated the crisis in those four cases, two vital indicators of financial crisis can be identified, which are the excessive liquidity and the excessive leverage. Furthermore, misguide of changes in regulatory framework might be a root cause of the financial crisis. (Cabral, 2013) In the case of “Asian Financial Crisis”, excessive…