12-07-2010, 03:24 PM
Q1
efine EPS approach? (3 Marks)
Q2:-what are securities? (3 Marks)
Q4:-Define the Market Risk and Diversifiable risk? & why risk occurs?(5 marks)
Another Paper:
Q:1 How should investors interpret price-earnings ratios ?(3)
Q:2what are the problems in capital rationing?( 3 )
Q:3 what is bond ? explains its exemples? (5 )
Another Paper:
why bonds exhibit interest rate of risk? 3
how price risk and return calculated give its formula? 3
types of shares in market? 5
Another Paper:
Define interest rate risk and investment risk ? 3 Marks
Why we don't invest in highest returns investments? 3 marks
There are two stocks in the portfolio of Mr. N, Stock A and Stock B. the information of this portfolio is as follows: 5 Marks
Common stock Expected rate of return Standard deviation
Stock A 15% 10%
Stock B 20% 15%
Calculate the expected rate of return on this portfolio assuming that Stock A consists of 75% of the total funds invested in the stocks and the remainder in Stock B.
Risk and expected rate of return explain briefly? 5 Marks
Another Paper:
1-Where there is a single period capital rationing ,what would be the most suitable way of marketing investment decision mentions?
2-which of the following slect the combination of investments proposals that will provide greatest increase in the value of the firm within the budget ceiling constraint?
3-a five year ordinary annuity has periodic cash flows of Rs:100 each year if the interest rate is 8 percent ,the present value of this annuity is closest to which of the following ?
4- which of the following is equall to the average text rate ?
5-which type of the responsibilities are primarily assigned to controller and treasurer respectively?
6-who determinces the market price of a share of common stock ?
LONG QUESTIONS:
1-A stock is expected to pay a dividend of Rs:0.75 at the end of the year. The required rate of return is Ks+10.5% and the expected constant growth rate is g=6.4%.what is the stock's current price?
2- there are some risks(unique risk) that we can diversity but some of the risk(market risk) are not diversifiable .explain both types of risk?
3-hammad inc is considering two alternative mutually exclusive projects both projects require an initial investment of Rs:10000 and are typical average risk projects for the firm Project A has an expected life of 2 year with after –taz cash inflow of Rs:6000. and 8000 at the end of year 1 AND 2 respectively?
Q1-ABC Corporation is expected to pay Rs.1 per share dividend at the end of year (D1 = Rs.1). The dividend is expected to grow at a constant rate of 5% a year. The required rate of return on stock is 16%. What is the per share value of ABC Corporation?
Q2-Suppose you have two projects of different life spans, how you would calculate their NPV? Give any one approach.
types of shares in market? (5)
optimal and why inestor choose best share
project wali calculation ti
stock wali calculation
types of shares in market? (5)
optimal and why inestor choose best share
project wali calculation ti
stock wali calculation
Define interest rate risk and investment risk ? 3 Marks
Why we don’t invest in highest returns investments? 3 marks
There are two stocks in the portfolio of Mr. N, Stock A and Stock B. the information of this portfolio is as follows: 5 Marks
Common stock Expected rate of return Standard deviation
Stock A 15% 10%
Stock B 20% 15%
Calculate the expected rate of return on this portfolio assuming that Stock A consists of 75% of the total funds invested in the stocks and the remainder in Stock
efine EPS approach? (3 Marks)Q2:-what are securities? (3 Marks)
Q4:-Define the Market Risk and Diversifiable risk? & why risk occurs?(5 marks)
Another Paper:
Q:1 How should investors interpret price-earnings ratios ?(3)
Q:2what are the problems in capital rationing?( 3 )
Q:3 what is bond ? explains its exemples? (5 )
Another Paper:
why bonds exhibit interest rate of risk? 3
how price risk and return calculated give its formula? 3
types of shares in market? 5
Another Paper:
Define interest rate risk and investment risk ? 3 Marks
Why we don't invest in highest returns investments? 3 marks
There are two stocks in the portfolio of Mr. N, Stock A and Stock B. the information of this portfolio is as follows: 5 Marks
Common stock Expected rate of return Standard deviation
Stock A 15% 10%
Stock B 20% 15%
Calculate the expected rate of return on this portfolio assuming that Stock A consists of 75% of the total funds invested in the stocks and the remainder in Stock B.
Risk and expected rate of return explain briefly? 5 Marks
Another Paper:
1-Where there is a single period capital rationing ,what would be the most suitable way of marketing investment decision mentions?
2-which of the following slect the combination of investments proposals that will provide greatest increase in the value of the firm within the budget ceiling constraint?
3-a five year ordinary annuity has periodic cash flows of Rs:100 each year if the interest rate is 8 percent ,the present value of this annuity is closest to which of the following ?
4- which of the following is equall to the average text rate ?
5-which type of the responsibilities are primarily assigned to controller and treasurer respectively?
6-who determinces the market price of a share of common stock ?
LONG QUESTIONS:
1-A stock is expected to pay a dividend of Rs:0.75 at the end of the year. The required rate of return is Ks+10.5% and the expected constant growth rate is g=6.4%.what is the stock's current price?
2- there are some risks(unique risk) that we can diversity but some of the risk(market risk) are not diversifiable .explain both types of risk?
3-hammad inc is considering two alternative mutually exclusive projects both projects require an initial investment of Rs:10000 and are typical average risk projects for the firm Project A has an expected life of 2 year with after –taz cash inflow of Rs:6000. and 8000 at the end of year 1 AND 2 respectively?
Q1-ABC Corporation is expected to pay Rs.1 per share dividend at the end of year (D1 = Rs.1). The dividend is expected to grow at a constant rate of 5% a year. The required rate of return on stock is 16%. What is the per share value of ABC Corporation?
Q2-Suppose you have two projects of different life spans, how you would calculate their NPV? Give any one approach.
types of shares in market? (5)
optimal and why inestor choose best share
project wali calculation ti
stock wali calculation
types of shares in market? (5)
optimal and why inestor choose best share
project wali calculation ti
stock wali calculation
Define interest rate risk and investment risk ? 3 Marks
Why we don’t invest in highest returns investments? 3 marks
There are two stocks in the portfolio of Mr. N, Stock A and Stock B. the information of this portfolio is as follows: 5 Marks
Common stock Expected rate of return Standard deviation
Stock A 15% 10%
Stock B 20% 15%
Calculate the expected rate of return on this portfolio assuming that Stock A consists of 75% of the total funds invested in the stocks and the remainder in Stock