Net present value

The components of a comprehensive budget are divided in two categories: The operating income, which includes all forms of recurring income and expenses; and the Capital Budget, which includes nonrecurring items. The purpose of the Operating Budget is in a comprehensive budget is to make clear the forms of income that the individual can count on, on a regular basis and the expenses that have to be made for each period. On the other hand, the capital budget exists for long term purchases and…

(b) There are two villages. In the …rst village, each couple is allowed to have one child at most. In the other one there is no such a constraint. Suppose all parents want boys, so that in the second village each couple will keep trying until they get a boy. In the end, will the Boy/Girl ratios in the two villages be extremely di¤erent? Reason your answer. Answer: Intuitively, if each child independently has probability to be a boy and 1 probability to be a girl, then no matter how many children…

proxies of risk. Accordingly, the TFM cannot be utilised to explicate the return of stocks. They tested the stock returns for five years by utilising the NYSE stocks imported from the COSTAT and the CRSP. They discovered that the best returns on value stocks were caused by increasing amendments in predicting the rate of future growth. The authors explicated that the BTMR and the size of the firm impacts were the result of the systematic error of the method that practitioners utilised to…

Therefore, the manager could improve their salary by increasing sales in terms of volume or in terms of margin (Net Profit / Sales). The third component of the plan is related to the asset turnover and return on sales, but comes into play by determining the volume of investment. For that matter, they are considered operating assets allocated to each branch (store)…

1. Dan Ariely and Chapter 3 - Financial Wellbeing (Gallup) make a similar point about relativity when it comes to our salaries and material possessions. Explain this point then discuss how this relates to a person's ability to build wealth over time. Both Dan Ariely and Chapter 3 in Financial Wellbeing make a similar point about what relativity has to do with personal salaries and material possessions. In both sources it shows how when people are give two options such as “making $50,000 while…

Question 1. Ex-ante rationales like market reward cannot explain the meaning of patents system (Kesan, 2015). According to Kesan (2015), there are three economic rationales of ex-post of the patents system. First, patents system creates a basic market for inventors and buyers and make the whole innovation system more efficient. As a matured system, rules about how to apply, how to protect, and how to track these patents already existed. Therefore, when inventors or companies have something…

The stocks chosen by me for this project are: Bharat Electronics Limited (BEL) - NSE: BEL - Sector : Electricals State Bank Of India (SBI) - NSE: SBIN - Sector : Banks-Public Sector Trading day 1 - 18 Aug, 2017 Decision - Bought BEL - Rs.182.25, SBI - 278.50 Reasons for buying BEL stocks: 68.19% promoter holding by president of India as reported by the company on 31 march 2017. BEL’s long term debt to equity ratio for the last 5 financial years has been 0 which means the company has been…

Liquidity Ratios of Sun Pharmaceutical Limited: The above table – 2 shows the liquidity parameters to measure the liquidity position of the Sun Pharmaceutical Company Limited for ten years. Current Ratio: Current ratio shows working capital position of the firm. It is also known as a working capital ratio. It shows excess amount of current assets than current liabilities. It is used to judge firm’s short term capacity to pay off its obligation. Current Ratio = Current assets/current liabilities.…

-I remember the first time I actually got my first hundred dollar bill I was around ten years old.My uncle gave me a hundred dollar bill for christmas one year and he told me if I keep it till next year he would double the amount I saved. -I was in shock that I finally got my first hundred dollar bill I couldn't stop staring at it and didn't want anyone to know that I had one. I felt as if I were on top of the world and could buy anything I wanted. But then i remembered that my uncle told me…

8.0 WHAT IS THE PRICING MECHANISM. The flow of pricing mechanism in Islamic Unit Trust The Fund : Apex Dana Al- Faiz- I Unit holder (Mr. Aiman) go to the Maybank (Trustee) and give a capital in order to buy a unit of Islamic Unit Trust. For example Mr. Aiman have money amount RM10 000, he give Rm10 000 to the Maybank as a trustee. Maybank will pool the money that also comes from other unit holders and give to the Apex Investment Services Berhad and professional manager will manage…