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Question 1 You have been asked by the president of your company to evaluate the proposed acquisition of a new special purpose truck. The truck's basic price is Rs.50,000 and i
The data on sales performance in LS Company has shown a important downward trend over the last year. The Marketing and Sales Department is blaming the Finance Department for the po
Explain what a bond is and discuss its nature as a "fixed income" security.Discuss important terms in relation to bonds as the "price", "maturity", "current yield", "yield to matu
What kinds of U.S. companies would benefit most from a stronger dollar in the foreign exchange market? Explain. U.S. companies which import goods from other countries would bene
what is the traditional gold standard? and how does it differ from our current monetary system.
The exchange rate uncertainty may not essentially mean that firms face exchange risk exposure. Describe why this may be the case. Answer: A firm can comprise a natural hedging p
How to finance the exit of the financiers The company would have to decide how to finance the exit of the financiers. Considerations comprise: (i) Selling shares to the pub
compare and contract the potential liabilities of owners of proprietorship,partnership and corporation
An Investor can receive income from this source when the bonds purchased at discount are held up to maturity or when he sells the bond before ma
Profitability Index (PI) : It is a ratio of the present value of the total cash benefits to the present value of the net cash outlay. The higher the PI, the higher the return.
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