Corporate Finance Part I Cost of Capital

... could extract useful information for the modelization of the behaviour of the policyholders. 28 Cost of Capital and Surrender Options for Guaranteed Return Life Insurance Contracts Alexis Bailly February ... incompleteness of insurance markets and the limited access to equity capital, we introduce the notion of cost of capital. We analyse the impac...

Ngày tải lên: 13/04/2013, 13:04

... Exercises 1/ Boomwichers NV Period 2005 2006 2007 2008 2009 2 010 Operating inflows 16 5 200 240 280 320 360 Operating outflows 16 5 17 5 18 0 18 5 18 0 19 0 Operating cash flows 0 25 60 95 14 0 17 0 Investments ... C ẳ 1, 500. Cost of various components: Parts Price Opening inventory Closing inventory Case 50 5 13 Mother board 200 8 2 Processor 300 4 11 Memory 10 0 6 4 Graph...

Ngày tải lên: 14/12/2013, 15:15

... Goals: ã Understand the cost of capital and the specific sources of capital associated with the cost of capital. ã Determine the cost of debt and preference share capital. ã Calculate cost of ordinary share capital, ... The Cost Of Already Issued Preference Capital  Calculated by: [Equation 11. 4] Where: r p = Cost of preference share capita...

Ngày tải lên: 16/12/2013, 14:57

... nhập doanh nghiệp. Nói rộng hơn, tài sản của doanh nghiệp được tài trợ dù bằng vốn cổ phần hay bằng nợ thì WACC là chi phí sử dụng vốn bình quân của các khoản tài trợ của doanh nghiệp. Bằng việc tính ... nguồn vốn đầu tư của bạn phải lấy từ nguồn tài trợ dài hạn, như vậy để chính xác khi so sánh, việc tính chi phí sử dụng vốn bạn phải lấy từ nguồn tài trợ dài hạn. Tại sao lại sử d...

Ngày tải lên: 21/12/2013, 21:15

... (C ẳ m): 20 01 20 02 2003 Sales 25 6 326 422 Raw materials used 78 104 143 Personnel cost 1 02 139 190 Operating income 41 52 59 Net income 23 27 30 Shareholders’ equity 119 129 1 52 Net bank borrowings 42 ... microeconomics. Chapter 9 Margin analysis: Structure 161 3 For year 20 05, the first ratio is 20 05 sales Average 20 05 headcount , Average 20 05 headcount being equal t...

Ngày tải lên: 24/12/2013, 02:17

... (C ẳ ) Year (1) (2)ẳ 10 % (1) ẳ (1) ỵ (2) 19 96 10 0,000 10 ,000 11 0,000 19 97 11 0,000 11 ,000 12 1,000 19 98 12 1,000 12 ,10 0 13 3 ,10 0 19 99 13 3 ,10 0 13 , 310 14 6, 410 2000 14 6, 410 14 ,6 41 1 61, 0 51 20 01 1 61, 0 51 16 ,10 5 17 7 ,15 6 2002 ... frequent. Exercises 1/ 100 /1. 05 3 ẳ C ẳ 86.4; 10 0 /1. 1 3 ẳ C ẳ 75 .1; 10 0 /1. 2 3 ẳ C ẳ 57.9. 2/C ẳ 75 ....

Ngày tải lên: 24/12/2013, 02:17

... Jan- 02 Feb- 02 Mar- 02 Apr- 02 May- 02 Jun- 02 Jul- 02 Fiat 24 .8 25 .6 25 .3 18.5 17.1 17.9 17.8 17.3 14.8 16 13.1 12. 9 12. 9 Italian index 1650 1611 1509 125 6 13 42 1400 1433 1437 1 426 1503 14 62 1371 128 5 2/ A ... impossible. Exercises 1/Returns on the Fiat share: 12. 9 /24 .8 1 ẳ48%. Returns on the Italian index: 1 ,28 5/1,650 1 22 %. Fiat risk ẳ 10 .25 %. Index risk ẳ 6...

Ngày tải lên: 24/12/2013, 02:17

... flows of 10 for 5, 10 and 20 years: Present value of a cash flow of 10 for 5 years 10 years 20 years To perpetuity At 15 % 33.5 50.2 62.6 66.7 At 10 % 37.9 61. 4 85 .1 100 At 5% 43.3 77.2 12 4.6 200 We ... Financial Economics, 11 , 19 7–207, 2002. M. Blume, F. Lim, C. MacKinlay, The declining credit quality of US corporate debt: Myth or reality? Journal of Finance, 53, 13 89 14 1...

Ngày tải lên: 24/12/2013, 02:17

... or 25 .0 0.0 15.0 40.17 Spain 5 25 –48.0 20 .0–48.0 20 –48.0 35.0 France 50 6 26 .0 25 .0 35.43 Italy 12. 5 12. 5 or 27 .0 12. 5 40 .25 Netherlands 25 .0 0.0 7 30.0 34.5 UK 40.0 40.0 20 .0 30.0 USA 38.6 20 .0 ... 127 127 127 127 Interest expense 0 15 35 60 ẳ Pre-tax profit 127 1 12 92 67 À Corporate income tax 44 39 32 23 ẳ Net profit 83 73 60 44 Income tax: On dividends/cap...

Ngày tải lên: 24/12/2013, 02:17

... 8.9 Chemicals 10 .3 9.8 Aerospace and defence 10 .3 — Industry services 10 .5 9.4 Electronics 10 .8 10 .3 Food retail 10 .9 10 .1 Other retail 11 — Media 11 .2 10 .2 Food and beverage 11 .5 10 .5 Luxury 12 10 .2 Utilities ... rival 849 Chapter 41 Choice of corporate structure 1 Leveraged Buy Outs. 19 982004 20022004 transactions above C ẳ 10 0m (%) (%) France 12 .3 2...

Ngày tải lên: 24/12/2013, 02:17

... Association of Corporate Treasurers: www.treasurers.org General: J. Graham, C. Harvey, The theory and practice of corporate finance: Evidence from the field, Journal of Financial Economics, 60 (2 3), 179–185, ... 179–185, June 20 01. M. Dolfe, European Cash Management: A Guide to Best Practice, John Wiley & Sons, 1999. R. Cooper, Corporate Treasury and Cash Management, Palgrave Ma...

Ngày tải lên: 24/12/2013, 02:17

... that the cost of capital of the firm depends on four factors: the risk free rate, the aggregate risk tolerance of the market, the expected cash flow of the firm, and the covariance of the firm’s ... links the disclosure of accounting information to the cost of capital. Specifically, we examine whether and how the quality of a firm’s acc...

Ngày tải lên: 06/03/2014, 21:20

... declares the presence of circularity. After these instructions are done, then, the WACC can be calculated as the sum of the debt and equity contribution to the cost of capital. Now we can proceed ... expression for the weighted average cost of capital. It can be shown that under the assumption of the discount rate of tax savings is Ku, the WACC f...

Ngày tải lên: 07/03/2014, 00:20

... Kasper Meisner Nielsen Corporate Finance: Part I Cost of Capital Download free books at Download free eBooks at bookboon.com 2 Corporate Finance: Part I Cost of Capital Download free ... stocks using present value formulas 18 www.sylvania.com We do not reinvent the wheel we reinvent light. Fascinating lighting offers an infinite spectrum of possibilities: Innov...

Ngày tải lên: 05/11/2014, 21:10