If a firm has already paid an expense or is obligated to pay one in the future, regardless of whether a particular project is undertaken, that expense is a: obligated cost. committed cost. complementary cost. sunk cost. To correctly project cash flows, we need to consider all of the factors EXCEPT: the likely impact that […]
FIN370T Wk 5 Discussion – Effects of Lowering Interest Rates
Post a total of 3 substantive responses over 2 separate days for full participation. This includes your initial post and 2 replies to other students. Due Thursday Respond to the following in a minimum of 175 words: Review the Discussion FAQsModule. Then respond to the following: The Federal Reserve lowers interest rates in the economy to increase economic activity. Using the capital budget […]
FIN370T Wk. 4 – Apply: Exercise
FedEx Corp. stock ended the previous year at $113.39 per share. It paid a $0.40 per share dividend last year. It ended last year at $126.69. If you owned 300 shares of FedEx, what was your dollar return and percent return? $4,110; 12.08 percent $4,250; 12.29 percent $3,990; 11.73 percent $2,009; 9.13 percent A stock […]
FIN370T Wk 4 Discussion – Analyzing Investment Opportunities
Post a total of 3 substantive responses over 2 separate days for full participation. This includes your initial post and 2 replies to other students. Due Thursday Respond to the following in a minimum of 175 words: Review the Discussion FAQs Module. Respond to the following: You have been offered the opportunity to get in on a once-in-a-lifetime investment. The returns will be […]
FIN370T Wk. 3 – Apply: Exercise
A 2.95 percent TIPS has an original reference CPI of 180.2. If the current CPI is 205.1, what is the current interest payment and par value of the TIPS? (Assume semi-annual interest payments and $1,000 par value.) $1,000.00, $29.50, respectively $878.60, $16.79, respectively $1,138.18, $29.50, respectively $1,138.18, $16.79, respectively A 3.75 percent TIPS has an […]
FIN370T Wk 3 Discussion – Bond Markets and Interest Rates
Post a total of 3 substantive responses over 2 separate days for full participation. This includes your initial post and 2 replies to other students. Due Thursday Respond to the following in a minimum of 175 words: Review the Discussion FAQs Module. Discuss how the bond market reacts when the Federal Reserve increases short term interest rates. How do short-term versus long-term bond prices […]
FIN370T Wk. 2 – Apply: Exercise
Which of the following statements is incorrect with respect to time lines? Interest rates are not included on our time lines. Correct Cash flows we receive are called inflows and denoted with a positive number. Cash flows we pay out are called outflows and designated with a negative number. A helpful tool for organizing […]
FIN370T Wk 2 Discussion – Analyzing a Time Value of Money Scenario
Post a total of 3 substantive responses over 2 separate days for full participation. This includes your initial post and 2 replies to other students. Due Thursday Respond to the following in a minimum of 175 words: Review the Discussion FAQs Module. Winning one of the big national lotteries provides a choice of how to receive the money. You can receive a […]
FIN370T Wk. 1 Apply: Exercise
Maximizing owners’ equity value means carefully considering all of the following EXCEPT how best to return the profits from those projects to the owners over time. which projects to invest in. how to best bring additional funds into the firm. how best to increase the firm’s risk. This subarea of finance involves methods […]
FIN370T Wk 1 Discussion – Organizational Goals
Post a total of 3 substantive responses over 2 separate days for full participation. This includes your initial post and 2 replies to other students. Due Thursday Respond to the following in a minimum of 175 words: Review the Discussion FAQs Module. There are many potential goals of a corporation, such as: minimize costs, maximize sales, maximize employment, maximize earnings, maximize shareholder […]