Scenario: A new product manager presents to you, the chief financial officer, a proposal to expand operations that includes the purchase of a new machine. The product manager is certain that the positive cash flows, which exceed the initial outlay by $30,000 by the end of Year 4, will bring both praise and approval. You explain the company uses a 13% discount rate for cash flows and project-related budgeting. You take the time to present the details of the net present value (NPV) model used to assess product proposals. The data is below.
Project Outflows to Buy Machine
Day 1 Cash Out -$90,000 13% discount rate applied.
End Year 1 Cash Repayment $30,000
End Year 2 Cash Repayment $30,000
End Year 3 Cash Repayment $30,000
End Year 4 Cash Repayment $30,000
To educate the new manager, and as CFO, you take the time to evaluate the following:
Checklist:
Evaluate how the Time Value of Money concept results in a discounted cash flow in year 4 (an amount less than $30,000).
Assess the investment option using a 13% cost of capital discount rate by applying the NPV model. Include values in your assessment. Provide the NPV at a 13% cost of capital discount rate. Include values in your assessment.
Assess the investment option with an 8% cost of capital discount rate.
Category: Finance
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“Evaluating an Investment Proposal using Net Present Value and Discounted Cash Flows”
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“Analyzing Business Strategies: A Case Study on the Challenges and Solutions of a Company’s Operations and Credit Policy”
Case studies are about real-life
situations. They involve an in-depth observation of a “case” such as an event, process or person.
Relate the case with the
theories or concepts that you will cover in the class and if possible,
give some suggestion or
solution.
The task
is to examine a company’s
operation strategy, credit policy, collection method or some other aspect of
their business with which they are experiencing difficulties or which may be
undergoing change. Among factors
that can be considered are industry norms, customer profiles, risk
tolerance, and financial objectives.You may conduct a short interview with the officials or
personnel of organization and report the findings accordingly. -
“Preparing a Master Budget for Morganton Company: An MLA-Style Analysis of Accounting Problem”
Dear freelancer, please solve into an MLA-style paper the attached problem. It is an accounting problem with 9 subpoints. Please show all the work/explanations and show all the formulas used for each of the subpoints.
📋 EXAMPLES OF PROBLEMS OR QUESTIONS:
Morganton Company makes one product and it provided the following information to help prepare the master budget: a. The budgeted selling price per unit is $65 Budgeted unit sales for June, July, August, and September are 9.600. 27.000. 29.000, and 30.000 units, respectively. All sales are on credit b. Thirty percent of credit sales are collected in the month of the sale and 70% in the following month c. The ending finished goods inventory equals 30% of the following month’s unit sales 📎 ATTACHED:
– task -
“Building a Diversified Stock Portfolio with $10,000” Portfolio Update # 1: % Return of Overall 10-Stock Portfolio: 3.2% Best Stock Overall: Apple Inc. (AAPL) Worst Stock Perform
Buy 10 different publicly traded (not private) stocks (preferably from a mix of the 11 different economic sectors). You have $10,000 to spend, no more, and try to spend as much of it as possible. No fractional shares. First, spend as much of $1000 per stock as you can without going over. Once you’ve bought shares of 10 different companies, if you have some $$ left of the $10,000, then you may exceed the $1000 limit per stock, but you cannot go above the overall portfolio limit of $10,000. Do not use fake prices! I follow the market each day and night so if I’m familiar with the company you buy and the prices don’t make sense to me, I’ll obviously know you’re pulling the numbers out of thin air, LOL.
This should be a fun an interesting assignment. If you prefer to track your 10 stocks outside of a web-based watch account (Yahoo Finance has an easy to use intuitive portfolio tracker I use myself), you can alternatively use my color coded Excel spreadsheet I created myself which can be found in files and pages, in the supplemental files folder. Just enter your stock symbols, what you paid for them, when you bought them and if they pay any dividends in the green cells. Then, on each update, you update your portfolio performance by entering the current closing prices in the green cells for the current prices; you will post here your portfolio update # 1 which will state:
The % return of overall of your 10-stock portolio at the end of week # 1 .
What was your best stock overall
What was your worst stock performer to-date
List your portfolio holdings and why you chose them. -
Annotated Bibliography: Understanding the Complexities of ISIS and its Influence on Global Terrorism
Annotated BibliographyAssignmentPURPOSE: The purpose of this assignment is to help you organize and categorize the information you gathered during research.✓Think of the topic youselected for your annotated bibliography.✓Select 5 of the 7 scholarly articles related to your topic✓Print your articles and highlight the most significant information you wish to include in your annotations.✓Create an MLA formatted annotated bibliographyin Word. Be sure to properly format it by looking at the examples and YouTube video provided in your internet scavenger hunt. Requirements:✓You will have a minimum of 5 annotations.✓Your annotations should all relate to the topic you were assigned.✓Your annotations should be a minimum of ¾of a page.✓Your annotations should be formatted in APA style.✓Your annotations should be grammatically correct and well thought out. ✓Your annotations should NOT be copied and pasted from the article. These should be in YOUR WORDS only. Annotated BibliographyPeer ChecklistDevelopment: ✓Underline any fragments or run-on sentences.✓Put a star next to any paragraph that is not fully developed or is confusing.✓Read the annotations out loud. Do they sound competent and professional?Punctuation and Organization:✓Find and mark any comma splices.✓Look for lack of commas and missing periods at the end of sentences.✓Circle any ineffective transition statements.Formatting:✓Check to make sure the annotations are in alphabetical order.✓Check to make sure the margins are all 1”✓Is the font Times New Roman—size 12?✓Are the citations correctly formatted in MLA format? Grammar:✓Circle any misspelled words throughout the annotations.✓Underline any capitalizationerrors.YOU SHOULD ANNOTATE THESE 5 SUBTOPICS OF ISIS,LEADERSHIP, COMBATANTS,PROPAGANDA,FINANCE AFFILIATED GROUPS.
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Title: Time Value of Money, Interest Rate Analysis, and Bond Valuation in Financial Management
1. Time Value of Money Calculations:
• What is an opportunity cost? How is this concept used in TVM analysis.
• Explain why opportunity cost is vital for financial managers.
2. Interest Rate Analysis:
• Research the current market interest rates and analyze and discuss the factors that are influencing them.
• Create a chart or graph to illustrate the trend of these rates over the past year.
• Based on current economic trends and data, what are the predictions for short-term and long-term interest rates?
• How might changes in market interest rates impact the investment strategies of both individual and institutional investors?
3. Bond Valuation Exercise:
• Yield to Maturity (YTM):
What is Yield to Maturity (YTM), and why is it considered a more comprehensive measure of a bond’s return compared to the coupon rate?
• Default Risk and Bond Ratings:
How do bond ratings (such as those from Moody’s, S&P, and Fitch) impact the interest rates of corporate bonds? Discuss the concept of risk premium in the context of bond ratings.
• Bond Types and Features:
Compare and contrast different types of bonds such as zero-coupon bonds, convertible bonds, and callable bonds. What are the unique features and risk profiles of each type?
• Macroeconomic Factors:
Discuss how macroeconomic factors such as inflation, economic growth, and fiscal policy impact government bond yields. How might these factors influence an investor’s decision to buy or sell government bonds?
Submission Guidelines:
The report should be 5-7 pages in length, excluding the cover page and the reference page.
Format: Use headings and subheadings to organize your content clearly.
References: Cite at least 3 credible sources to support your analyses.
Adhere to APA formatting guidelines. -
Title: Evaluating Van Muur’s Control Solicitation and Meyer’s Dinner Conversation Assertions for Chestnut
ONLY USE MY FILES NO OUTSIDE SOURCE 1. Why is Van Muur soliciting control of Chestnut?
2. Do you agree with Meyer’s dinner conversation assertions?
a. Estimate a risk‐adjusted cost of capital for the two business units and comment on whether Meyer’s graph is accurate (case Figure 1). In estimating the cost of capital,
please consider WACC estimates based on the comparable companies.
b. How does the choice of a constant versus risk‐adjusted hurdle rate affect your
evaluation of Chestnut’s two divisions?
3. Do you support Pederson’s proposal?
a. In light of the recent developments, is her investment and identity proposal more
relevant?
b. What recommendations should Pederson make to respond to Van Muur?
Questions:
Should hurdle rate for project selection reflect WACC?
Should WACC and FCF reflect inflation adjustment?
Should the cost of debt and cost of equity reflect the risk appropriate for business risk and financial risk?
Should the equity and debt reflect appropriate market‐value‐based weightings?
Should the WACC be the same for all divisions, i.e., one company‐wide WACC be used?
Should the WACC be based on projects, or be the same for all projects within a division? -
HWK2_Zhangy
Please name your file as your last name + first letter of your first name+_HWK2. If you fail to do it, you will lose 5% of the homework grade for this assignment. For example, my file is zhangy_HWK2
Only turn in excel file. If you need to answer questions, please do that in the excel file too. Please number the problems and part a, b, c, etc clearly. For example, problem 1, will be numbered as 1a), 1b)….etc. -
“The Impact of HR Functions on Organizational Financial Performance: A Portfolio Assignment”
PURPOSE OF ASSIGNMENT
This assignment is called the “portfolio assignment” because it is a summary of all the actions that a human resource professional can take to impact the financial results of any organization. It is a group assignment because collective wisdom is better than individual knowledge. It is also an assignment that should be considered a “keeper” in that, the assignment results are a call to action and a strategy map for an effective human resource professional.
ASSIGNMENT INSTRUCTIONS
This is a “portfolio” assignment.
The assignment this week is to show the potential impact various HR functions or activities have on the three major financial statements.
First, create a table that listed the major components of the Income Statement, Balance Sheet, and Cash Flow statements. Next, explain how HR can impact those components. For example, reducing the time to fill a position could potentially increase revenue on the Income Statement. Or, expanding the time to pay a vendor for an HRIS system will improve cash flow from operations. What about DSO’s or sales commissions or benefits or PTO or training or…. hopefully you get the idea.
You can use either Excel or Word for your table. You can be creative in how you present your alignments. You do not need to include references as I am looking (and will grade) based on your level of understanding of what HR does impact financial performance. -
“Building a FinTech Strategic Plan for OpenSea: Advancing Mass Adoption, Profitability, and Future Success” “The Advantages and Opportunities of Building a Digital Wallet Marketplace on Web 3.0: A Case Study of OpenSea”
Topic 5: OpenSea, web & e-commerce Your mission: You are an Executive at OpenSea and the company leadership has been discussing how the platform can build upon its successes. Your challenge is to develop a FinTech strategic plan of action to advance OpenSea’s mass adoption, profitability and future success. After the invention of database technologies in 1960, commercial activity and financial data documentation rapidly shifted from paper to purely digital entries. Despite the improvements that this software provides, data stored in this way is exposed to potential misuse by a variety of actors, including the operator of the system, its personnel, and other external actors. The Web’s “original sin” Ad-based business models have been called the “original sin” of the World Wide Web, leading to today’s widespread calls to rein in excess of personal data collected by Web 1.0 internet companies. While regulatory efforts, such as the European Data Protection Regulation and California’s Consumer Privacy Act, provide legal remedies for already recorded data, Web 3.0 solutions can provide users with nuanced control over personally identifiable data prior to its exposure to third parties. Web 1.0 era e-commerce companies, such as eBay, and early FinTech companies, such as PayPal, rely on public internet infrastructure but interface with databases maintained by these companies. These walled gardens are accessible only to users that agree to the rules (i.e., terms and conditions) of the platform provider. Conversely, Web 3.0 solutions enable permissionless peer-to-peer value transfer, with rules
automatically enforced through smart contracts. Smart contracts are a collection of software programs that are executed autonomously on a distributed network of computers and maintained by independent operators. Immutable record-keeping and digital ownership High-speed internet and Web 2.0 solutions shifted the distribution of software, music, and movies from physical media to purely digital delivery. However, while buyers of CDs and DVDs could sell the old albums or movies on secondary marketplaces, this is not possible with Web 2.0 media, which is rented or licensed to users in a purely digital form. Digital rights management solutions restrict buyers to use the media inside of the environments provided by the seller or licensee – as is the case with Amazon’s media platform and Apple’s iTunes. The internet introduced new protocols for audio and video formatting that disrupted legacy media distribution technologies while simultaneously impacting ownership models that relied on physical products. Early blockchains, such as bitcoin, enabled the creation of digital bearer instruments, which allow ownership rights to be reliably transferred from one person to another without the sender keeping a copy of the virtual asset. While digital products are generally fungible – one bitcoin can be replaced by any other bitcoin without impacting its value or function – newer blockchain-based standards can allow for the creation of digitally unique, non-fungible, and semi-fungible virtual items. Digital economies Purely digital economies started to emerge in multi-massive online role-playing games in the late nineties. Today these online worlds generate multibillion-dollar revenues from the sale of in-game items (According to a 2022 market report published by Grand View Research , the global video game market reached revenues of $195.6 billion in 2021). However, buyers of these goods only receive limited rights to their online persona and its virtual possessions. With the introduction of Web 3.0 technologies, publishers can permanently transfer digital assets to the user. E-commerce solutions built on Web 3.0 technologies also allow the transfer of digital assets directly from one user to another (peer-to-peer). One of the first solutions built in this way is OpenSea – buyers and sellers are not required to create accounts on the marketplace but connect to the service using a digital wallet under the user’s control. OpenSea collects a fee for transactions and is interoperable with other decentralized applications (dApps). Even though the goods sold on the marketplace are still mostly limited to digital art, digital collectibles, and Web 3.0 domains (as of May 2022), the company’s revenue already exceeds one million dollars a week. Visit OpenSea’s website to learn more about this Web 3.0 marketplace and consider the following: • What are the advantages for OpenSea and its users in building on Web 3.0 technologies? How might other industry players assess Web 3.0’s advantages? • How can Web 3.0 technologies link with other digital assets and ecosystems, such as personal data, e-commerce, gaming, cryptocurrencies, lending, and the metaverse? : How cother dienalad non dioml products aould Opensea da to its marketplace? How could OpenSea benefit from interoperability with other Web 3.0 applications?