boq, Finance Basics

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A+/a1, A+/A1 It is one of the top ratings that a ratings agency allots ...

A+/A1 It is one of the top ratings that a ratings agency allots to an issuer or insurer. This rating indicates that the security or carrier has steady financial backing and ple

Depreciation, Which depreciation method would produce the higher NPV and ho...

Which depreciation method would produce the higher NPV and how much higher would it be?

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Cost of Retaining Finance This will contains dividends for share capital and interest for debt finance or can say tax deducted or like effective cost of debt.  Though, when co

P/E ratio, How are earnings calculated for the Pe ratio?

How are earnings calculated for the Pe ratio?

Dividend cover ratio, Dividend Cover Ratio Dividend cover = EPS/ DPS =...

Dividend Cover Ratio Dividend cover = EPS/ DPS = Earning to ordinary shares/Dividend paid       This signifies the number of times dividend can be paid from earnin

Discounted cash flow rate of return of a project, Given the following Prese...

Given the following Present Value Plot for Projects A and B, which are mutually exclusive projects, answer the following questions: (i) What is the DCFROR for Project A? fo

Calculate the return on equity, Maghrabi Enclosure follows a moderate curre...

Maghrabi Enclosure follows a moderate current asset investment policy, but it is considering whether to shift to a different strategy.  The firm's annual sales are $500,000; its fi

Actions of shareholders in agency conflict, Actions of Shareholders in Agen...

Actions of Shareholders in Agency Conflict a) Disposal of assets required like collateral for the debt in this. In this case the bondholder is exposed to more risk becaus

Tom and Martha Holt Case Study., Which of the following retirement plan alt...

Which of the following retirement plan alternatives would allow Tom the greatest deductible contribution while providing him with only a small cash flow commitment each year based

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