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.
Question Calculating Annuities: You are planning to save for retirement over the next 30 years. To do this, you will invest $800 a month in a stock account and $350 a ...
Question Imagine it is year 1815 and you are a trader in British government consols (consolidated war loan – a perpetual security). It is the morning of Monday 19 June, the ...
Question For the loan below, calculate principal interest portion of the payment listed in the last column. Original Amortization period Payment interval ...
QuestionA individual has accumulated some wealth in a self-administered stock market investment fund and now wants to cash in (or liquidate) a part of this fund and use it to purch...
Question The Adelaide Private Hospital has 3 patient services departments – Adult Medicine, Obstetrics and Pediatrics. It also has 3 patient support departments – admi...
Question The spot MXN/¥ FX rate is S0(MXN/¥) = MXN0.100/¥. The ¥ interest rate is 3.0% per annum and the MXN interest rate is 5.0% per annum, both quoted with annu...
Question Suppose you observe S0(SEK/$) = SEK10.00/$. You have ¥1,000. Can you earn an arbitrage profit? If yes, show the steps involved in taking advantage of the arbitrage op...
Question You are the owner of a used car business near the York campus. Your company borrows money from a bank on a line of credit with a monthly interest rate of 0.50%. You know ...
Question Northern Distributors Plc. sells bottled water to corporate clients. The cost it pays for each bottle of water is £1.50. Its normal (list) selling price is £1...
Question Nike Ltd has issued share capital 4 million ordinary shares, with a par value of $1 each share. The board of the company has accepted the proposal for a new venture and t...
Question Balloon Payments: Audrey Sanborn has just arranged to purchase a $550,000 vacation home in the Bahamas with a 20 percent down payment. The mortgage has 6.1 pe...
QuestionSumitomo Bank’s risk manager has estimated that the DEARs of two of its major assets in its trading portfolio, foreign exchange and bonds, are –$150,000 and &nd...
