Explain the differences between the Standard and Poor’s 500 Index and the Dow Jones Industrial Average. Which is a better measure of stock market performance? Why?

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In a Word document, respond to the following. Number your responses 1–3.

1.Describe the rights and advantages belonging to shareholders

2.Explain the differences between the Standard and Poor’s 500 Index and the Dow Jones Industrial Average. Which is a better measure of stock market performance? Why?

3.Describe the differences between common stock and preferred stock.

Use references to support your responses as needed. Be sure to cite all references using correct APA style. Your responses should be free of grammar and spelling errors, demonstrating strong written communication skills.

Problems

In either a Word document or Excel spreadsheet, complete the following problems.

You may solve the problems algebraically, or you may use a financial calculator or an Excel spreadsheet.
If you choose to solve the problems algebraically, be sure to show your computations.
If you use a financial calculator, show your input values.
If you use an Excel spreadsheet, show your input values and formulas.
In addition to your solution to each computational problem, you must show the supporting work leading to your solution to receive credit for your answer.

Compute the following:

1.Imagine that on June 4, the Dow Jones Industrial Average closed at 13,598.14, which was up 148.86 points from the previous day’s close of 13,449.28. Calculate the return, in percent to four decimal places, of the stock market for June 4.

2.The cost per stock at a brokerage firm is $0.10. Calculate how much money you would need to buy 150 shares of HiTech, Inc., which trades at $18.22.

3.HiTech, Inc.’s growth for the future is forecasted to be a constant 10 percent. HiTech’s next dividend is expected to be $1.18. Calculate the value of HiTech stock when the required return is 12 percent.

4.Preferred stock from HiTech, Inc. pays $1.20 in annual dividend. Calculate the value of the stock if the required return on the preferred stock is 4.5 percent.

5.HiTech, Inc. has earnings per share of $1.82 and a P/E ratio of 31.54. Calculate the stock price.

Make an overview for each firm. What are the major products of these firms? Who are the main competitors of the firm?

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Please make one to two slides for each firm, and a writing report in word. (Two firms need to work: Motorola, and Nvidia)
Make an overview for each firm. What are the major products of these firms? Who are the main competitors of the firm? (Note that “competitor” means offering similar goods or services to the same potential customers.)In addition to the qualitative description above, we will want the following quantitative information about each firm: stock market capitalization, debt ratio1, and standard risk measures: both beta and (annualized) volatility. These can be calculated with data easily downloadable from Yahoo! Finance, under Historical Data, and Key Statistics. (Calculate these, do not just report Yahoo! Finance’s calculations.) Beta and volatility calculations should be based on data (use log returns) from 1/1/2011 to 1/1/2021. Use (ten years of) both weekly and daily data and average the results. (If the company had an IPO or was spun off in the last ten years, use data starting from the first January 1 after the IPO/spinoff, and note the shorter sample.) Beta should be calculated against the S&P 500 index (ticker ^SPXor ^GSPC).

Debt ratio = (Debt – Cash)/(Debt – Cash + Stock market capitalization)

What is the required rate of return on AA’s stock? Do not round intermediate calculations. Round your answer to one decimal place.

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1, Your investment club has only two stocks in its portfolio. $15,000 is invested in a stock with a beta of 0.5, and $25,000 is invested in a stock with a beta of 1.9. What is the portfolio’s beta? Do not round intermediate calculations. Round your answer to two decimal places.

2, Required Rate of Return

AA Corporation’s stock has a beta of 0.8. The risk-free rate is 3%, and the expected return on the market is 11%. What is the required rate of return on AA’s stock? Do not round intermediate calculations. Round your answer to one decimal place.

%

3, Required Rate of Return

Suppose rRF = 6%, rM = 11%, and rA = 9%.

  1. Calculate Stock A’s beta. Round your answer to one decimal place.
  2. If Stock A’s beta were 1.1, then what would be A’s new required rate of return? Round your answer to one decimal place.

%

4, Required Rate of Return

Stock R has a beta of 1.5, Stock S has a beta of 0.45, the expected rate of return on an average stock is 8%, and the risk-free rate is 5%. By how much does the required return on the riskier stock exceed that on the less risky stock? Do not round intermediate calculations. Round your answer to two decimal places.

%

5, After-Tax Cost of Debt

LL Incorporated’s currently outstanding 7% coupon bonds have a yield to maturity of 4.8%. LL believes it could issue new bonds at par that would provide a similar yield to maturity. If its marginal tax rate is 25%, what is LL’s after-tax cost of debt? Round your answer to two decimal places.

%

6, Cost of Preferred Stock with Flotation Costs

Burnwood Tech plans to issue some $50 par preferred stock with a 5% dividend. A similar stock is selling on the market for $65. Burnwood must pay flotation costs of 7% of the issue price. What is the cost of the preferred stock? Round your answer to two decimal places.

7, Cost of Equity: Dividend Growth

Summerdahl Resort’s common stock is currently trading at $38 a share. The stock is expected to pay a dividend of $2.50 a share at the end of the year (D1 = $2.50), and the dividend is expected to grow at a constant rate of 3% a year. What is the cost of common equity? Round your answer to two decimal places.

%

8, Cost of Equity: CAPM

Booher Book Stores has a beta of 0.6. The yield on a 3-month T-bill is 5% and the yield on a 10-year T-bond is 7%. The market risk premium is 6.5%, and the return on an average stock in the market last year was 13%. What is the estimated cost of common equity using the CAPM? Round your answer to two decimal places.

%

9, WACC

Shi Import-Export’s balance sheet shows $300 million in debt, $50 million in preferred stock, and $250 million in total common equity. Shi’s tax rate is 25%, rd = 7%, rps = 8.1%, and rs = 11%. If Shi has a target capital structure of 30% debt, 5% preferred stock, and 65% common stock, what is its WACC? Round your answer to two decimal places.

%

 

Critically review related literature, and summarise and evaluate approaches to construct proxies for investor sentiment.

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Required:
1. Discuss the theoretical underpinnings for empirical findings of Yu and Yuan (2011). [6 marks]
2. Suppose that you decide to extend the US evidence from Yu and Yuan (2011) to another market. Select a market and motivate your selection. [8 marks]
3. Critically review related literature, and summarise and evaluate approaches to construct proxies for investor sentiment. [12 marks]
4. Determine a proxy for investor sentiment in your selected market, and elaborate motivation for your selection. [8 marks]
5. Present descriptive statistics of (i) market returns of the selected market and (ii) investor sentiment. [15 marks]
6. Select one method to filter conditional volatility of market returns, and present descriptive statistics of conditional volatility. [15 marks]
7. Examine (i) the relation between market returns and investor sentiment, and (ii) the relation between market returns and conditional volatility. Discuss potential limitations of your work. [36 marks]

Identify a hazard and discuss how it impacts the CAX corporation and describe how you could treat the hazard.

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Jack works for the CAX corporation and has 20 year history of employment at the corporation. CAX manufactures water towers for rural areas. Day-to-day operations, acquisitions, and growth pose many risk to the corporation. Identify a hazard and discuss how it impacts the CAX corporation and describe how you could treat the hazard.

Give an example of a derivative where the delta may be either positive or negative for different ranges of the stock price. Please explain in detail.

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Topic: Delta and Risk-Neutral Pricing
Please respond to the following questions while elaborating on your insight and providing external support:
• Explain the concept of the delta of an option.
• Give an example of a derivative where the delta may be either positive or negative for different ranges of the stock price. Please explain in detail.
• Provide an understanding if risk-neutral pricing including how it works and how it can be used.

Complete your 4page response using Microsoft Word.
Include 6 references (at least 4 scholarly/peer reviewed). Your well-written response should be formatted according to the standard APA 7 Standard and properly cited.

Explain how the market analysts’ current opinions of the company compare to the picture you have formulated of the company thus far.

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It is easy to become too focused on the minutia of the numbers and lose sight of the larger picture of how a company is valued in the larger marketplace. In this portion of your report you will use the skills and content you mastered in your Adaptive Coach this week to analyze the company’s business and financial conditions and begin to create a macro-level view of the company and its performance within the market as a whole, as well as completing specific analyses that will help you to evolve your impressions of the company’s financial stability and long term health.
Include the following content in this section.
• Summarize how your company compares to the overall market
• Summarize what 3-5 market analysts are currently saying about the company.
• Calculate the value of the company’s financial assets by completing ratio analyses for the company for the last three fiscal years within the following bulleted categories. Provide a rationale as to whether each ratio is favorable or signals potential trouble for the company justifying your observations with evidence from the data and your findings.
(Note: Your report must include a minimum of 2 ratios from each bulleted category, with a minimum of 10 total analyses. The greater the number of relevant ratio analyses you can provide, the stronger your business case will be to either purchase or not purchase the stock.)
• Categories for ratio analysis
o Liquidity
o Financial leverage
o Asset management
o Profitability
o Market value

The Market Summary and Value Calculation
• Must be two double-spaced pages in length (not including title and references pages) and formatted according to APA style as outlined in the Ashford Writing Center (Links to an external site.).
• Must include a separate title page with the following:
o Title
o Student’s name
o Course name and number
o Instructor’s name
o Date submitted
• Must use at least two industry or scholarly sources in addition to the course text.
o The Scholarly, Peer Reviewed, and Other Credible Sources (Links to an external site.) table offers additional guidance on appropriate source types. If you have questions about whether a specific source is appropriate for this assignment, please contact your instructor. Your instructor has the final say about the appropriateness of a specific source for a particular assignment.
• Must document all sources in APA style as outlined in the Ashford Writing Center.
• Must include a separate references page that is formatted according to APA style as outlined in the Ashford Writing Center.
Carefully review the Grading Rubric (Links to an external site.) for the criteria that will be used to evaluate your assignment.

Part 2

On a separate page:
• Explain your rationale for including the data elements you provided in your summary comparison of your company within the overall market.
• Explain why you chose the market analysts you included in your summary.
• Explain how the market analysts’ current opinions of the company compare to the picture you have formulated of the company thus far.
• Explain how the 10 ratio analyses of the company’s financial assets you calculated in your draft create a full picture of the overall health the company.
• Pose any questions you have regarding the content and/or assignment so your mentor can provide you with assistance to improve your work this week.

Please include the following source: Hickman, K. A., Byrd, J. W., & McPherson, M. (2013). Essentials of finance. Retrieved from

How can management overcome this issue – what process can they employ to ensure information is meaningful and drives value?

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Porter stated the costs should be apportioned to the value chain. That said, the accounting systems help process the information but they can get in the way of analyzing those costs, and result in obscuring the underlying activities.
How can management overcome this issue – what process can they employ to ensure information is meaningful and drives value?

we need to answer this question up from my tutor Please try to limit the posts to 220-300 words

British English

What makes you unique among your Kelley peers? Is there a hobby, interest, or topic that you could go on and on about that leaves all your classmates looking at you with blank stares?

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What makes you unique among your Kelley peers? Is there a hobby, interest, or topic that you could go on and on about that leaves all your classmates looking at you with blank stares? Are you an enthusiast about something? Tell us about it, and why

How do the concepts of credit and interest, as incorporated into banking, and money lending, help to stimulate economic growth?

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As the world continues to struggle to find its footing amid rising unemployment, constricted credit, and crumbling banks and industries — raising questions about how the economic system collapsed — PBS presents Niall Ferguson’s ASCENT OF MONEY. This ground-breaking six-part series examines the creation of the economic system by taking viewers on a global trek through the history of money. Watch Episode 2 of the video and answer the following questions

  • How do the concepts of credit and interest, as incorporated into banking, and money lending, help to stimulate economic growth?
  • Give one example of how you think the availability of credit may have stimulated growth in medieval times. Then give one example of how it works today and explain why modern financial markets are different from those in medieval times.

DocuDeck. (2013, March 17). The ascent of money – Human bondage (Episode 2) [Video]. YouTube. https://www.youtube.com/watch?v=FDbPikepkiI