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Why do we need to learn finance
The questions that you may thinking about right now are "Why do we need to learnfinance? Shall we not leave it to people who are going to specialise in finance?Finance will not help me in the area that I am going to work in, so why learn?" It is to say that knowledge of finance doesn't add any value to you. Is it so? Think about it.
When you get your pocket money from your parents, you don't go out and blow theentire money in one day because if you do, your parents aren't going to give you more money to last through that month. You quickly determine that you need to plan your expenditure so that money lasts throughout the month and you may in fact plan to save someof it. Those who don't get enough to meet their requirements, think about some clever means to raise more money (such as falling sick!). On the other hand if they need more money for the month due to certain special events (such as Valentine's Day) they can plan to borrow money for a month and repay in next month.
Illustration The monthly yield of a mortgage backed security is 0.75%. Find out the annual yield for this security. Solution Annual yield = 2 [(1 + 0
Explain the organization and function of commodities exchange
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In this exercise you will construct efficient portfolios with 5 risky assets using Excel's non-linear optimization routing "Solver". The questions are designed to be sequential and
Need for Credit and its nature On the demand side of the economy are the consumers of goods and services who require funds basically for acquiring certain consumer durables. Th
Basic Assumptions of Cost of Capital The Cost of Capital is a dynamic concept affected by a multiplicity of economic and firm factors and assumes the following assumptions rela
Q. Describes the methods of Capital Budgeting? Capital Budgeting: - Capital Budgeting is the procedure of making decisions for investment in long-term assets. It is a method of
A mortgage-backed security is a debt and a kind of security that is backed by a pool of mortgages or a credit support from another party to a transaction. T
Q. Explain about Discount Rate? Discount Rate - Rate at which INTEREST is deducted in advance of the issuance, selling, purchasing or lending of a financial instrument. Also, t
How to calculate payment of expenses: SAIB, LLC is a US company that provides cell phone and internet service; it seeks to expand its international operations into Kyrgyzstan.
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