greatest amount. It is therefore necessary‚ to understand the nature of the relationship between dividend and value of the firm. It is in the light of this that the study examines the possible effects of a firm’s dividend policy on the market price of its common stock with reference to the Nigerian context‚ using Nestle Nigeria Plc. as case study. In so doing‚ the methodology adopted include the use of ex post facto research techniques to acquire data and the use of co-relational research techniques‚ which
Premium Stock Stock market
American Finance Association Equity Issues and Stock Price Dynamics Author(s): Deborah J. Lucas and Robert L. McDonald Source: The Journal of Finance‚ Vol. 45‚ No. 4 (Sep.‚ 1990)‚ pp. 1019-1043 Published by: Blackwell Publishing for the American Finance Association Stable URL: http://www.jstor.org/stable/2328713 . Accessed: 16/07/2011 10:21 Your use of the JSTOR archive indicates your acceptance of JSTOR ’s Terms and Conditions of Use‚ available at . http://www.jstor.org/page/info/about/policies/terms
Premium Stock market Stock Net present value
Question 1 Eastbridge‚ a U.S. based company purchased 100 000 shares of Cambridge‚ a British company a year ago. Eastbridge has decided to sell all the shares in one month time to finance the company other operation. Eastbridge expects the share price of Cambridge to be £7.00 in one month time. To hedge against exchange rate exposure‚ Eastbridge sold £ forward contract at the forward rate of US$1.63 based on the expected share price of £7.00. a) What is the amount of £ to be sold in the forward
Premium Mutual fund Stock Stock market
Studies of Stock Price Volatility Changes Fischer Black‚ Massachusetts Institute of Technology This article explains the analysis of Fischer Black on the volatility of underlying shares that flow in the cash market. Fischer Black also determines and explains how futures trading affect cash market volatility. Volatility may be described as a time series indicator which enables traders to quantify changes in market prices. Volatility can be characterized as historical or implied. Historical
Premium Stock market Stock Risk aversion
The Wm. Wrigley Jr. Company: capital structure‚ VALUATION and cost of capital Introduction: Blanka Doborynin a managing partner of AURORA BOREALIS LLC tries to initiate a research for a potential investment in Wrigleys. They are trying to recapitalize the firm. Wrigley’s which is 100% equity financed has a market value of $13‚103‚000‚000 the question begins if it is totally equity financed is it running at its efficient level? Or Is it better to recapitalize the structure and thereby bring
Premium Stock Corporate finance Finance
Gold Price Volatility and Stock Market Returns in India P K Mishra Faculty in Economics‚ Siksha O Anusandhan University‚ Orissa‚ India E-mail: pkmishra1974@gmail.com J R Das Faculty in Management‚ Siksha O Anusandhan University‚ Orissa‚ India E-mail: j.35979@yahoo.co.in S K Mishra Faculty in Economics‚ TITE‚ Orissa‚ India E-mail: sk_mishra@yahoo.co.in Abstract The study of the capital market of a country in terms of a wide range of macroeconomic and financial variables has been the subject matter
Premium Econometrics Stock exchange Time series analysis
2 ‚ 1. Given an interest rate of 7.3 percent per year‚ what is the value at date t = 7 of a perpetual stream of $2‚100 annual payments that begins at date t = 15? 2100 0.073 1 1.073 17‚567.03 2. You’ve just joined the investment banking firm of Dewey‚ Cheatum‚ Howe. They’ve offered you two different salary arrangements. You can have $90‚000 per year for the next two years and or you can have $65‚000 per year for the next two years‚ along with a $45‚000 signing bonus
Premium Rate of return Investment Stock
Newcastle University Business School MA International Financial Analysis 2010/11 NBS8002 Techniques For Data Analysis ------------------------------------------------- SAIC Stock Prices and Its Participation in GM’s IPO (Keywords: Event Study‚ Daily Stock Return‚ the OLS Market Model‚ SAIC‚ IPO) Tutors Name: A.D Miller Student Name: Chen Kai
Premium Management Strategic management Business
WEIGHTED AVERAGE OF COST OF CAPITAL (WACC) ‚EPS . Chandler knew that the maximum value of the firm was achieved when the weighted average cost of capital was minimized. Thus she intended to estimate what the cost of equity and the wacc might be if wrigley pursued this capital structure change. The projected cost of debt would depend on her assessement of wrigley’s debt rating after recapitalization and on current capital market rates. WACC before recapitalization Wrigley’s pre recapitalization
Premium Finance Weighted average cost of capital Stock market
EuroEconomica Issue 2(31)/2012 ISSN: 1582-8859 Effects of Audit Opinion on Stock Prices: The case of Croatia and Slovenia Arbër H. HOTI Teaching Assistant Faculty of Economics‚ University of Prishtina‚ arber_hoti@hotmail.com Hysen Ismajli Associate Profesor Faculty of Economics‚ University of Prishtina‚ hysen_rismajli@yahoo.com Skender Ahmeti Associate Profesor Faculty of Economics‚ University of Prishtina‚ skender.ahmeti@yahoo.com Arben Dërmaku Assistant Profesor Faculty of Economics
Premium Audit Auditor's report Balance sheet