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Diversification A strategy which tends to move into new products and new markets in which organisation is unfamiliar with. Related for example vertical forwar
Q. Describe the Walters dividend model? Walter's Model: - Walter's model maintains the doctrine that the dividend policy is relevant for the value of the firm. As-per to the Wa
What is the difference between business risk and financial risk? Business risk considers to the uncertainty a company has regarding to its operating income (as well termed as ear
Beta plc sets its minimum cash balance as $1,000.00 & eastimates the following transaction cost sale/purchase =$12 standrsa deviation =$1,200 per day Interest rate =14.6% p.a or 0
Define and discuss indirect world systematic risk. The indirect world systematic risk can be illustrated as the covariance among a nontradable asset and the world market portfo
Derivatives - Financial instruments whose value varies with value of an underlying asset (like a stock, BOND, commodity or currency) or index like interest rates. Financial instrum
AOT limited is considering two mutually exclusive projects - cable and satellite. The possible NPVs for every project and their associated probabilities are as follows: Cable:
the approach focussed mainly on the financial problems of a corporate enterprise
Examine about the Risk-based auditing A risk based audit will be reviewing the risk management process and considering main risks of the organisation as a whole. Risk manage
Financial statement analysis report: 1. Perform a comparative analysis (horizontal analysis). Analyze two items on the balance sheet and two items on the income statement for
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