Time Value of Money Analysis - 1405 Words

5-42 Integrated Case Time Value of Money Analysis. You have applied for a job with a local bank. As part of its evaluation process, you must take an examination on time value of money analysis covering the following questions: a. Draw time lines for (1) a $100 lump sum cash flow at the end of Year 2; (2) an ordinary annuity of $100 per year for 3 years; and (3) an uneven cash flow stream of -$50, $100, $75 and $50 at the end of Years 0 through 3. (1) 100 0 1 2 100 0 1 2 (2) I%I% I%I% (3) 100 50 75 0 1 2 3 -50 100 50 75 0 1 2 3 -50 b. 1. What’s the future value of $100 after 3 years if it earns 10%, annual compounding? FV = PV (1 + I)N = $100 (1.10)3 = $133.10 2. What’s the†¦show more content†¦Why? * The future value will be larger if we compound an initial amount more often than annually. For example, you deposit $100 in a bank that pays a 10% annual interest rate but credits interest each 6 months. Therefore, in the second 6-month period, you earn interest on your original $100 plus interest on the interest earned during the first 6 months. 14. Define (a) the stated (or quoted or nominal) rate, (b) the periodic rate, and (c) the effective annual rate (EAR or EFF%). (a) The stated rate is the contracted or quoted interest rate and is also referred to as the annual percentage rate (APR). (b) The periodic rate is the annual percentage rate divided by the number of periods per year. (c) The effective annual rate is the annual rate of interest actually being earned, as opposed to the quoted rate. 15. What is the EAR corresponding to a nominal rate of 10% compounded semiannually? Compounded quarterly? Compounded daily? * Compounded Semiannually: EAR = [1+ 0.10/2]2 – 1 = 0.1025 = 10.25% * Compounded Quarterly: EAR = [1+ 0.10/4]4 – 1 = 0.1038 = 10.38% * Compounded Daily: EAR = [1+ 0.10/365]365 – 1 = 0.1052 = 10.52% 16. What is the future value of $100 after 3 years under 10% semiannual compounding? Quarterly compounding? * Semiannual Compounding: IPER = I / M = 10% / 2 = 5% Number of Periods = NM = (3)(2) = 6 FV = $100 (1.05)6 =Show MoreRelatedAnalysis : Time Value Of Money826 Words   |  4 Pagesmacroeconomic variables*. Time Value of Money The TVM is an important characteristic of any FA. Arguably, this financial concept is the most important as it is essential for managers to understand the TVM’s power on stock prices (Ehrhardt Brigham, 2017). In short, TVM states that today’s dollar in the bank has more value than a reliable promise or expectation of obtaining a future dollar (Magloff, n.d.). The ensuing sections shall discuss: (1) propose various present values* (PV) of the Company;Read MoreMoney Demand Literature Review : Analysis Essay1149 Words   |  5 PagesMoney Demand Literature Review Wienclaw (2015) states that regression analysis allows for the use of variables in mathematical models to determine the value of an unknown variable. This can require several assumptions, including that the information being used is correct. However, as Wienclaw (2015) points out, in reality, data is not always perfect or correct. In the business world this requires great care when analyzing models and using regression analysis (Wienclaw, 2015). Models and regressionRead MoreKey Ways A Company Can Identify And Review Financial Data890 Words   |  4 Pages It is necessary for a business to find multiple ways to improve the way they receive and analysis data. The four ways a company can identify and review financial data is by reviewing the company’s financial statements, balance sheets, their income statements and statements of cash flow. The first type of review that can be performed is with a financial statement. The purpose of the income statement is to report or measure the amount of revenue a company has generated throughout a certainRead MoreHow Money Is Still Relevant For Scientific Analysis1524 Words   |  7 PagesAs a result of money being developed as a practical means to exchange goods, the question of what is money is still relevant for scientific analysis. What is it really? Is it a social construct that has no intrinsic meaning? Is a dollar bill money? Is it a representation for value, or it is valuable intrinsically? Who decides the worth? What do we mean when we speak of money? The answers to these questions are not fully understood in our analysis of the current literature. Our goal is to exploreRead MoreEssay on Chapter 1 Profits Managers And Markets 1 1201 Words   |  5 Pagesmanager – Economics – Managerial economics defined †¢ Economics of Effective Management – Identifying goals and constraints – Recognize the nature and importance of profits – Understand incentives – Understand markets – Recognize the time value of money – Use marginal analysis †¢ Learning managerial economics 1-2 Introduction Economics †¢ The science of making decisions in the presence of scarce resources. – Resources are anything used to produce a good or service, or achieve a goal. – Decisions areRead MoreGreen Affordable Housing Essay1516 Words   |  7 Pagesaffordable housing. Recent studies are showed that green buildings have a modest initial cost premium, but the long-term benefits far exceed the additional capital costs. For this report, I will introduce a financial analysis -Net Present Value (NPV), and discuss the impacts of NPV analysis for green affordable housing. Definition of affordable housing Affordable housing means housing is affordable to those households with a median or lower income as rated by county or state. According to the UnitedRead MoreFinance As The Science And Art Of Managing Money1518 Words   |  7 PagesCherix Leung BUS202 Anna Kwong Reflective Paper Chapter 1 – Introduction to Finance In the book Managerial Finance, it defines finance as the science and art of managing money. Whether we are dealing with finance on the personal or business perspective, the general ideas behind them are inseparable, equally serious and important. Individuals make plenty of decisions, short-term and long-term plans based on their monthly income and expenses, which it is going to directly affect how they are goingRead MoreBuffets Investment Philosophy Essay1346 Words   |  6 PagesAssessment of the eight major elements of Buffets investment philosophy: 1 Economic reality, not accounting reality. 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Preventative care is an essential element thatRead MoreCase Study Report on Achieve Logic737 Words   |  3 Pagesstudents. Our team had to write a report about this company and to value the Project Achieve. We started by calculating the pre- and post money valuation, then the cash flow projections, and we finished by calculating, the expected return on equity and the final equity value. To facilitate the calculation of this value, our team made some assumptions that we will explain and justify all along that report. ANALYSIS A. PRE- AND POST-MONEY VALUATION Initially funded by angel investors, the project had

Social Issues The Homeless Vs The Police Essay - 1642 Words

Social Issues: The Homeless VS The Police Today in the United States, society is faced with various types of social issues like the homeless, and police violence. As the United states continues to grow larger in population, so does the number of citizens who that will be without a home. The United States has always been known as, â€Å"The Land of the Free,† but larger populations make crowded cities a haven for crime and police violence. The homeless and police violence tends to share similarities in some of the different aspects of both social issues surrounding them. The homeless and police sometimes can set fear in citizens, they both happen to hover mainly in the inner cities, differences are that while the homeless may be suffering at young ages from disease, the police are dealing with complex racial tension that with proper training can lead to a successful relation with society. The number of homeless citizens continues to grow throughout the country as well as the number of police officers being pushed to work the cities. Homeless seek refuge in places like shelters while the police correspondingly are trying to help clear the streets of the homeless. Many times shelters are maxed out with the amount of homeless utilizing these facilities and therefore are left trying to seek other options, whereas the police are forced to try and get the homeless out of sight out of mind on the public. As the police push for the homeless to find somewhere new to live each day theShow MoreRelatedEssay on Should Homelessness Be Criminalized?1007 Words   |  5 PagesDid you know that Applied Survey Research counted a total of 4,539 homeless people last year in Sonoma County alone? I can vouch for the authenticity and methods used in this survey because I assisted as a counter. I am passionate about the social issue of homelessness, mainly because I was part of this populati on a decade ago. Applied Survey Research defines homelessness in part as, â€Å"An individual who lacks a fixed, regular, and adequate nighttime residence†¦Ã¢â‚¬  The sad fact is that there are not enoughRead MoreThe Divide : American Injustice1247 Words   |  5 Pagesforces that oppress and criminalize poverty, but also perpetuate white collar crimes among the wealthy. American society has developed systematic forces to oppress and criminalize individuals who come from low socioeconomic backgrounds. Much of police policy starting in the 1990’s and towards the 21st century has been erected on the â€Å"broken windows theory†. The broken windows theory theorizes that crime is a product of disorder, and when disorder is eliminated then crime should ultimately be eliminatedRead MoreConflict Between The Wealthy And The Needy939 Words   |  4 Pagescultures is not always a negative issue. 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Although there are numerous programs and policies to eradicate homelessness, we still see that the numbers continue to rise. Essentially, social theories such asRead MoreThe Homelessness Population in America Essay1910 Words   |  8 PagesI. Social problems are those that raise a questionable suspense to issues that impact societies congruent to cultural normalization. The social issue researched will be homelessness and the impact along society. Homelessness is a social concern that raises issues for government officials, communities, and people along the community in so many ways. Every town or city is impacted by this liaison. In 2012 The Department of Housing and Urban Development (HUD) calculated an estimate of at least 700,000Read MoreA Proactive Approach For Preventing Corruption : Start At The Beginning3037 Words   |  13 PagesPreventing Corruption: Start at the Beginning Almost 40 years ago, William Ker Muir, Jr. proposed a theory that a good police officer is one who develops passion (the ability to reconcile using coercive power to achieve just means) and perspective (the ability to empathize with the rest of humanity) (p.54). Muir concluded his book by suggesting that in order to prevent corruption, police must engage in eloquent speech, develop a tragic perspective on the human condition, and come to terms with the responsibilitiesRead MoreBs1 Revision Booklet1108 Words   |  5 Pagessector (e.g museums, leisure center) REASONS: too expensive PUBLIC GOODS- Goods that can be benefited by everyone. Things that can’t be in the private sector because it is impossible to stop people from using them even without paying (e.g lampposts, police) PRIVATE SECTOR- Businesses owned and run by individuals/ group of individuals Aims to make profits, surviving and increasing market share.(Sole Traders, Partnerships ETC) Different Types of Businesses: In Private Sector LIMITED LIABILIY:Read MoreHow Criminal Justice System Works And How It Has Problems Essay2095 Words   |  9 Pagesincarceration, but also in crime rate and punishments. She pointed out that our panel system is â€Å"social control unparalleled in the world.† Now days, one in three African Americans sentenced be in prison. Thirty three percent of African Americans go to prison. In some cities, more than half of them are incarcerated, on parole, or on probation. Civil rights advocates are mostly devoted to other issues such as affirmative action. The NACCP has been made movement. They made racial profiling come underRead More Mental Health within the Criminal Justice System Essay2591 Words   |  11 Pagesis clearly one of the most critical issues facing the Australian and New South Wales (NSW) CJS with research indicating that offenders with mental health problems constitute the majority of those within the prison system. The current strategies for diversion will be critica lly evaluated in order to determine their effectiveness with regard to the delivery and production of justice, cultural sensitivity for Indigenous Australians will also be considered. The social construction of mental illness andRead MoreConflict and Social Change: a Case Study of Boko Haram Insurgence in Nigeria3843 Words   |  16 PagesCONFLICT AND SOCIAL CHANGE: A CASE STUDY OF THE BOKO HARAM INSURGENCE IN NIGERIA   Dedication This work is dedicated to all those who have lost their lives as a result of the activities of the Boko Haram sect.    Acknowledgement I am so grateful to the Almighty God for giving me the grace needed to present this term paper. May all honour and thanksgiving be ascribed unto They name in Jesus name. I will also fail to register my ineffable gratitude to my lecturer, Mrs Ayogu for guiding me throughout

Bali bombings responess free essay sample

?On October 12 2002, Australians were targeted by Islamic extremists in the most popular Muslim country in the world – Indonesia. The Australian and Indonesian government used the full force of both their legal systems and their police enforcement agencies to tackle the terrorist threat on their doorstep. Legal responses for achieving justice after the Bali Bombings include Australias enforcement cooperation with Indonesia and the arrest of the Bali bombers where as non legal responses include anti-terrorism campaigns and the memorials and victim support. Legal responses Australian-indonesian enforcement cooperation Within 24 hours of the Bali Bombings, the AFP arrived in Bali to assist the Indonesian National Police. A joint operation was launched and an effective partnership was forged between the two enforcement agencies. The AFP called the investigation Operation Alliance; 120 police officers from the state and federal Australian police forces worked beside Indonesian experts. This was an effective legal response because through the help of Australia, Indonesian authorities continued making arrests of people implicated in the Bali Bombings including Imam Samundra; it also bought Australia and Indonesia closer. We will write a custom essay sample on Bali bombings responess or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page International cooperation to combat global terrorism The AFP established the Jakarta Regional Cooperation Team to assist the Indonesian National Police in their investigations. The AFP has also helped develop the Jakarta Centre for Law Enforcement Cooperation to augment (make greater by adding to it) the Indonesia Law enforcement agencies to detail with terrorism. The cooperative approach taken by the Australian and Indonesian police force and governments was highly effective because AFP Commissioner Mick Keelty explained that together Australia and Indonesia were dedicated to making the region safer by addressing the treat of terrorism wherever it occurred. Non legal responses Australian anti terrorism campaigns The commonwealth government, launched a public information campaign and a National Security Hotline in response to the Bali Bombings. The goal of this was to ensure that the Australian people are alert and on the lookout for any possible warning signs of a terrorist attack. This response was ineffective because some people criticised this campaign for causing unnecessary fear and creating a culture for suspicion in which people were encouraged to spy on their neighbours as well as Muslim Australians reported feeling discriminated against in their day to day lives. Memorials and victim support Public memorials have been erected (constructed) in Bali and in Australia. These memorials act as a tribute to victims and a way to show support for victims and their families. In addition, Prince Charles opened a memorial globe with 202 doves carved into it (representing the 202 people killed) in London. This response was effective because it provided support for victims and their families for the grief expressed in the Bali Bombings. Conclusion The Bali bombings showed Australia that they are not immune to global terrorism. Australia has gained a willing partner in the region with which to combat terrorism.