Finance
Our Finance Solution Library Page contains so numerous questions, essay, problems and case studies that help in developing an in-depth knowledge on the subject.
Put it simply, finance deals with application of financial, economic and accounting principles which help in maximizing wealth and overall value of an organization. In fact, maximizing the wealth is regarded as one of the primary objectives of an organization. The value of a firm can be measured by the market price of shares of the company. Many a times, the higher the share value, the better the company’s performance, financially.
Capital Structure: In order that a company performs better financially, it must have a good capital structure. Capital structure is the way in which a corporation buys its assets by combining equity share capital and debt. While equity share capital belongs to shareholders, debt is provided by a third party. Our solution library has various questions, problems and case studies on capital structure, which make it easier for you to understand the concept thoroughly, both theoretically and practically.
Working Capital Management: Working capital management is a short term financial activity which is used for running the day to day activities of the firm. It is the difference between current assets and current liabilities. There are several problems and scenario analysis questions on working capital in our solution library dealing with working capital management.
Time value of money: Time value of money plays a crucial role in finance. Time value of money gives rise to various concepts such as present value (PV), future value (FV), net present value (NPV), internal rate of return (IRR), profitability index (PI), etc. Each of these concepts help in calculating the earning capacity or potential for money invested. In other words, one make a benchmark for earning capacity or rate of return for an investment by using the time value of money. Several problems, short answer questions, essays, cases and scenarios have been covered under time value of money in our Finance Solution Library page.
Financial Statement Analysis: Financial statements of a firm include income statement, balance sheet and cash flow statement. Each of these statements provide accounting and financial information which is used to arrive at the financial position of the firm with the help of certain tools and benchmarking techniques. Ratio analysis is one such practice used to know the financial position of a firm. Our solution library has several essays, problems, scenarios and cases on financial statement analysis which offer a comprehensive understanding of the topic.
Derivatives: Derivatives are financial instruments which are calculated by an underlying asset. These can be stock and commodities, government bonds, etc. The questions and problems covering derivatives in our solution library range from Options and Futures, Forwards, Swaps, Currency options and Futures, Hedging Strategies, etc.
Mergers and Acquisitions: Mergers and acquisitions play a major role not just in corporate strategy but also financially. Merger is merging two or more companies into one and acquisition is one company acquiring one or more companies and making them its own. Various questions and problems under merger and acquisitions can be found in our finance solution library.
Problems and case studies in finance: Our Finance Solution Library contains several problems and case studies which deal with topics mentioned above and more.
QuestionAlpha Company, which sells specially designed envelopes has been in the industry for almost then years. The company’s profit and loss account for the month of Decembe...
QuestionA. National Banks ...
Question Your family purchased a house three years ago. When you bought the house you financed it with a $160,000 mortgage with an 8.5% nominal interest rate (compounded monthly)....
QuestionThe standard deviation (square root of variance) of monthly changes in the spot price of jet fuel is 16.5 cents per gallon. The standard deviation of monthly changes in the...
Question All assets and liabilities are currently priced at par and pay interest annually. Assets Amount ($ millions) Annual Rate Liabilities Amount...
Question Consider a five-year, 8 percent annual coupon bond selling at par of $1,000.1. What is the duration of this bond? a. 5 years. b. 4.31 ...
QuestionConsider a one-year maturity, $100,000 face value bond that pays a 6 percent fixed coupon annually.1. What is the price of the bond if market interest rates are 7 percent?&...
QuestionYour firm has a debt-equity ratio of 0.75. Your pre-tax cost of debt is 8.5% and your required return on assets is 15%. What is your cost of equity if you ignore taxes? A.&...
Question Suppose that in the coming year, you expect Chevron Corporation stock to have a volatility of 42% and a beta of 0.9, and BP's stock to have a volatility of 24% and a beta...
Question Suppose a certain firm’s $1000 par bonds sell currently for $960, pay an annual 9% coupon, have 2% flotation costs, and mature in 20 years. It’s $80 par...
Question1. An FI has assets of $800 million and liabilities of $740 million. a. What is the balance sheet capital? a. ‑$60 million; b. $60 million; ...
Question Rotary Hospital’s static nursing labour expense budget for the month of November 2012 was $64,800 (1,200 patients * 1.5 nursing labour hours per patient * $36 per n...
