Reference no: EM133204884
Assignment - Principles of Finance Paper
Q1. Describe the differences among the following three types of orders: market, limit, and stop loss. Provide examples of each in your own words.
Q2. What is a short sale? Provide an example in your own words.
Q3. Describe buying on margin. Provide and example in your own words.
Q4. Why is it illegal to trade on insider information? Provide an example in your own words.
Required Resources - Melicher, R. W., & Norton, E. A. (2017). Introduction to finance (16th ed.). Hoboken, NJ: John Wiley & Sons.
COURSE LEARNING OUTCOMES -
1. Identify the fundamental components of finance and the importance of each in the financial environment.
2. Describe the function of the Federal Reserve, its composition, and other key policy makers that influence the financial system.
3. Explain the international monetary system, exchange rates, and the related impact on international trade.
4. Describe major capital market securities that facilitate the savings and investment process.
5. Explain the concepts of time value of money, present and future value, and how it influences financial decisions.
6. Discuss the role of interest rates in the financial environment, and how they are influenced and determined.
7. Describe the characteristics and valuation of stocks and bonds, and how each is a key component in the financing of corporations.
8. Describe the key elements of the securities markets, and how the markets drive financial transactions, decision making, and risk analysis.
9. Describe the forms of business organizations and the role of financial managers within an organization.
10. Describe the key financial statements used in a business, and how each is analyzed and influences financial decision making.
11. Explain the key components of working capital, how it impacts a firm's cash conversion process, and its ability to secure short-term financing.
12. Explain the capital budgeting process, how project cash flow is determined and valued, and how project risk influences decision making.
13. Describe the factors that impact a firm's capital structure and how it affects the firm's cost of capital.
14. Use technology and information resources to research issues in finance.
15. Write clearly and concisely about finance using proper writing mechanics.