Finance Study guides, Class notes & Summaries

Strayer FIN 534 Final Exam Answers (2019) Complete solution 1. Cazden Motors' stock is trading at $30 a share. Call options on the company's stock are also available, some with a strike price of $25 and some with a strike price of $35. Both options expire in three months. Which of the following best describes the value of these options? 2. Which of the following statements is CORRECT? 3. Which of the following statements is most correct, holding other things constant, for XYZ Corporation's tr...

Which of the following will cause an increase in net working capital, other things held constant? Howes Inc. purchases $4,562,500 in goods per year from its sole supplier on terms of 2/15, net 50. If the firm chooses to pay on time but does not take the discount, what is the effective annual percentage costof its non-free trade credit? Data on Nathan Enterprises for the most recent year are shown below, along with the days sales outstanding of the firms against which it benchmarks. The firm’s ...

1. Assume a two-country world: Country A and Country B. Which of the following is correct about purchasing power parity (PPP) as related to these two countries? a. If Country A’s inflation rate exceeds Country B’s inflation rate, Country A’s currency will weaken. b. If Country A’s interest rate exceeds Country B’s inflation rate, Country A’s currency will weaken. c. If Country A’s interest rate exceeds Country B’s inflation rate, Country A’s currency will strengthen. d. If Coun...

1. Which of the following statements is CORRECT, assuming positive interest rates and holding other things constant? 2. A $250,000 loan is to be amortized over 8 years, with annual end-of-year payments. Which of these statements is CORRECT? 3. Which of the following statements is CORRECT, assuming positive interest rates and holding other things constant? 4. Which of the following statements regarding a 20-year (240-month) $225,000, fixed-rate mortgage is CORRECT? (Ignore taxes and transac...

FIN 540 Final Exam with Answers A swap is a method used to reduce financial risk. Which of the following statements about swaps, if any, is NOT CORRECT? A firm’s credit policy consists of which of the following items? You have the following data on three stocks: As a risk minimizer, you would choose Stock if it is to be held in isolation and Stock Which of the following statements about pension plans if any, is incorrect? Which of the following statements is most CORRECT? Which of the followi...

FIN 665: Final Project Guidelines and Grading Guide The final project for this course is the creation of an Individual Case Analysis. The primary objective of this project is for students to understand how to analyze the capital structure of a company. Students will also improve their understanding of some basic forms of debt financing and learn to formulate strategies in structuring debt financing. The case will also expose students to the process of debt rating and its importance. Because ...

FIN 571 Final Exam Please provide your answers as follows in the Assignment newsgroup (Excel spreadsheet is preferred): 1. A 2. B 3. B, etc FIN 571 Final Exam Chapter 1 The Goals and Functions of Financial Management Multiple Choice Questions 1. What is the primary goal of financial management? A) Increased earnings B) Maximizing cash flow C) Maximizing shareholder wealth D) Minimizing risk of the firm Answer: C Difficulty: Easy Type: Memorization 2. The partnership form of organization A)...

Cazden Motors' stock is trading at $30 a share. Call options on the company's stock are also available, some with a strike price of $25 and some with a strike price of $35. Both options expire in three months. Which of the following best describes the value of these options? Which of the following statements is CORRECT? Which of the following statements is most correct, holding other things constant, for XYZ Corporation's traded call options? To help estimate its cost of common equity, Maxwel...