Analyze the current position of the Federal Reserve Chairman and Board related to interest rates, money supply, and inflation, and the effectiveness related to these decisions. Predict the future of the economy based on this current strategy. Provide support for your prediction.

Please provide one citation or reference for your initial posting that is not your textbook. Please do not use Investopedia or Wikipedia.

# Category: Finance

## Ethical behavior can be viewed at a personal level, as well as a corporate level. In business, personal ethics is often tied to the agency theory and at the corporate level tied to corporate social responsibility.

Discussion:

Prior to beginning work on this discussion forum, read Chapter 1, “The Goals and Activities of Financial Management,” in the textbook.

Ethical behavior can be viewed at a personal level, as well as a corporate level. In business, personal ethics is often tied to the agency theory and at the corporate level tied to corporate social responsibility.

For this discussion forum,

First, identify one real-life example of personal ethics and one real-life example of corporate social responsibility in the financial field from the last five years (no Enron or WorldCom examples, as these are too old). The example can be positive or negative. Note: When possible, select a different example than those already posted by a fellow classmate.

Next, explain each ethical example and what might have been done differently, as well as what you learned from the example.

Finally, select one financial business regulation (e.g., Sarbanes-Oxley Act of 2002, Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, etc.) and debate how it does or does not promote ethical behavior. Be sure to be specific when describing the regulation. What are other ways to ensure strong ethical business decisions?

Journal:

Prior to beginning work on this assignment, read Chapter 4, “ Financial Forecasting,” in the textbook and review the Personal Budget Resource. Watch the Week 1 Journal video above with Brenda Forde, Program Chair of MBA.

For this journal, complete two months of the Personal Budget Template. Then, reflect on your personal budget information and numbers from your completed Personal Budget Template. You may complete the template using your own personal financial data, which will make the activity more meaningful, or hypothetical numbers. Discuss the most important concepts and facts you learned. For example, were there any surprises in the amount or category of your expenses?

The book we use is:

Block, S. B., Hirt, G. A., & Danielsen, B. R. (2019). Foundations of financial management (17th ed.). Retrieved from https://www.vitalsource.com

The full-text version of this e-book is available through your online classroom.

## The Outsiders: Eight Unconventional CEOs and Their Radically Rational Blueprint for Success to the theories of capital allocation in the textbook, Foundations of Financial Management.

read chapter 3 and 9 and then After reading your assigned chapter, create a presentation linking what you have read in The Outsiders: Eight Unconventional CEOs and Their Radically Rational Blueprint for Success to the theories of capital allocation in the textbook, Foundations of Financial Management.

In your presentation,

Introduce the CEO and the example of the company (one to two slides).

Examine the theoretical application of capital allocation (one to two slides).

Explain how the CEO highlighted in your required chapter used the theories of capital allocation and applied them to his or her situation (two to three slides). You may also want to use Chapter 9 from The Outsiders: Eight Unconventional CEOs and Their Radically Rational Blueprint for Success.

Summarize three key takeaways you learned from linking the textbook theory to the real-world scenario highlighted in your required chapter (one to two slides).

the book is

Block, S. B., Hirt, G. A., & Danielsen, B. R. (2019). Foundations of financial management (17th ed.). Retrieved from https://www.vitalsource.com

The full-text version of this e-book is available through your online classroom.

## Select a company, review the latest financial statements, and calculate the working capital. If possible, try to select a company that a fellow classmate has not already selected.

part 1:

Prior to beginning work on this discussion forum, read Chapters 6, 7, and 8 in the textbook.

For this discussion forum,

Select a company, review the latest financial statements, and calculate the working capital. If possible, try to select a company that a fellow classmate has not already selected.

Examine the company’s cash, marketable securities, accounts receivables, and inventory.

Discuss any issues as well as positives with the company’s working capital and current asset management.

Assess the company’s short-term financing needs and potential sources of funds.

Be sure to think strategically and apply the concepts from the course textbook.

part 2:

Search people on Linkden who have completed their MBA programs and then In your initial post, discuss five MBA graduates with interesting career titles and explain their current role based on their LinkedIn profile details. You do not need to give the names of the five people. Address the following in your post:

Discuss their titles and how they are using their degree.

From these five roles, which one sounds the most interesting to you personally and why?

Are any of these roles in line with how you plan to use your MBA after graduation?

Would you consider pursuing any of these five roles?

If you have not already created a LinkedIn profile please do so now or update your profile based on your research.

## Instructions: Provide a two-page essay citing evaluating a current business article (2018-2021) which addresses a topic addressed in Corporate Finance.

Instructions: Provide a two-page essay citing evaluating a current business article (2018-2021) which addresses a topic addressed in Corporate Finance. Please provide a link to the article or upload a copy of the article for my review. You must clearly identify the topic discussed and use proper APA formatting. Sample topics include but are not limited to:

corporate social responsibility and good governance issues

what determines interest rates determined and what role do they play by financial markets and institutions in the global financial system

concept of the cost of capital, how it is affected by the firm’s capital structure, and the application of these concepts to capital budgeting decision making and dividend policy.

the impact of the Internet on working capital management.

Various sources of financing working capital

Risk and Volatility

Asset Management

Financial Performance

Hedge funds

Financial statement analysis

International finance

Etc.

## Prior to beginning work on this discussion forum, read Chapter 9, “The Time Value of Money,” in the Foundations of Financial Management

part 1:

Prior to beginning work on this discussion forum, read Chapter 9, “The Time Value of Money,” in the Foundations of Financial Management

In this discussion forum, you will determine the rate of return of your MBA degree.

The first step is to calculate the cost of your MBA. If your employer sponsors the cost of your education, you can either use what you would have paid or use opportunity costs as a basis.

After you determine your initial investment, determine the net present value (NPV) of that investment. As an example, let us say “Joe” will be changing jobs when he achieves his MBA and will make 10% more annually as a result. Joe plans to work for 20 more years. His MBA cost was $50,000.

Do you forecast that pursuing an MBA is worth the financial investment? Be sure to show all your calculations.

part 2:

Prior to beginning work on this discussion forum, read Chapter 11, “Cost of Capital,” in the Foundations of Financial Management textbook and watch the Week 3 Discussion video above with Dr. Kevin Kuznia, Academic Department Chair. Review the WACC and Cost of Capital Allocation (Links to an external site.) interactive.

For this discussion forum, you will provide a real-world example of how capital allocation was successfully (or unsuccessfully) applied.

First, use the Ashford University Library to research an article on capital allocation; many articles are available.

Select and review the article. For your initial post summarize the article and provide a connection between the article’s concepts and readings for the week. Do any of the concepts in your article agree or disagree with the text? Additionally, based on the findings in your article, explain how the Weighted Average of Cost Capital (WACC) influences investment decisions.

the book we read is:

Block, S. B., Hirt, G. A., & Danielsen, B. R. (2019). Foundations of financial management (17th ed.). Retrieved from https://www.vitalsource.com

The full-text version of this e-book is available through your online classroom.

## Evaluate the global financial environment.

By successfully completing this assessment, you will demonstrate your proficiency in the following course competencies and assessment criteria:

SHOW LESS

Competency 1: Evaluate the global financial environment.

Identify challenges for practitioners in using expected return.

Explain how different allocations between the risk-free security and the market portfolio can achieve any level of desired market risk.

Calculate expected return, considering the possibility of differing economic states.

Calculate required return, considering the risk-free rate and the risk premium.

Calculate the market risk premium of the Standard and Poor’s 500 Index, showing applicable input values, computational steps, and formulas.

Explain why expected return is considered forward-looking.

Calculate the beta of a portfolio, showing applicable input values, computational steps, and formulas.

Competency 2: Define finance terminology and its application within the business environment.

Calculate required return, using the capital asset pricing model.

Answer the following questions and complete the following problems:

Questions

In a Word document, respond to the following. Number your responses 1–2.

Explain why expected return is considered forward-looking. What challenges arise in using expected return?

Explain how differences in allocations between the risk-free security and the market portfolio can determine the level of market risk.

Use references to support your responses as needed. Be sure to cite all references using correct APA style. Your responses should be free of grammar and spelling errors, demonstrating strong written communication skills.

Problems

In either a Word document or Excel spreadsheet, complete the following problems.

You may solve the problems algebraically, or you may use a financial calculator or an Excel spreadsheet.

If you choose to solve the problems algebraically, be sure to show your computations.

If you use a financial calculator, show your input values.

If you use an Excel spreadsheet, show your input values and formulas.

Based on the probability and percentage of return for the three economic states in the table below, compute the expected return.

Economic State Probability Percentage of Return

Fast Growth 0.10 60

Slow Growth 0.50 30

Recession 0.40 -23

If the risk-free rate is 7 percent and the risk premium is 4 percent, what is the required return?

Suppose that the average annual return on the Standard and Poor’s 500 Index from 1969 to 2005 was 14.8 percent. The average annual T-bill yield during the same period was 5.6 percent. What was the market risk premium during these 10 years?

Conglomco has a beta of 0.32. If the market return is expected to be 12 percent and the risk-free rate is 5 percent, what is Conglomco’s required return? Use the capital asset pricing model (CAPM) to calculate Conglomco’s required return.

Calculate the beta of a portfolio that includes the following stocks:

Conglomco stock, which has a beta of 3.9 and comprises 35 percent of the portfolio.

Supercorp stock, which has a beta of 1.7 and comprises 25 percent of the portfolio.

Megaorg stock, which has a beta of 0.3 and comprises 40 percent of the portfolio.

## solve two computational problems about the capital budgeting process.

Respond to four questions and solve two computational problems about the capital budgeting process.

The capital budgeting process is a method used by organizations to evaluate their investment in various projects, such as buying new machinery or expanding into a new plant. You will benefit from being able to demonstrate the use of the capital budgeting process, including the following techniques and terms:

Net present value (NPV) method.

Internal rate of return (IRR) method.

Modified internal rate of return (MIRR) method.

Payback period.

Discounted payback period.

Profitability index.

Respond to the questions and complete the problems.

Questions

In a Word document, respond to the following. Number your responses 1–4.

Explain the net present value (NPV) method for determining a capital budgeting project’s desirability. What is the acceptance benchmark when using NPV?

Explain the payback period statistic. What is the acceptance benchmark when using the payback period statistic?

Describe the internal rate of return (IRR) as a method for deciding the desirability of a capital budgeting project. What is the acceptance benchmark when using IRR?

Describe the modified internal rate of return (MIRR) as a method for deciding the desirability of a capital budgeting project. What are MIRR’s strengths and weaknesses?

Use references to support your responses as needed. Be sure to cite all references using correct APA style. Your responses should be free of grammar and spelling errors, demonstrating strong written communication skills.

Problems

In either a Word document or Excel spreadsheet, complete the following problems.

You may solve the problems algebraically, or you may use a financial calculator or an Excel spreadsheet.

If you choose to solve the problems algebraically, be sure to show your computations.

If you use a financial calculator, show your input values.

If you use an Excel spreadsheet, show your input values and formulas.

In addition to your solution to each computational problem, you must show the supporting work leading to your solution to receive credit for your answer.

Based on the cash flows shown in the chart below, compute the NPV for Project Huron. Suppose that the appropriate cost of capital is 12 percent. Advise the organization about whether it should accept or reject the project.

Project Huron

Time 0 1 2 3 4

Cash Flow $12,000 $2,360 $4,390 $1,520 $3,300

Based on the cash flows shown in the chart below, compute the IRR and MIRR for Project Erie. Suppose that the appropriate cost of capital is 12 percent. Advise the organization about whether it should accept or reject the project.

Project Erie

Time 0 1 2 3 4 5

Cash Flow $12,000 $2,360 $4,390 $1,520 $980 $1,250

## Respond to the questions and complete the problems.

Respond to the questions and complete the problems.

Questions

In a Word document, respond to the following. Number your responses 1–4.

Explain what a call provision enables bond issuers to do. Why would bond issuers exercise a call provision?

Define a discount bond and a premium bond. Provide examples of each.

Describe the relationship between interest rates and bond prices.

Describe the differences between a coupon bond and a zero coupon bond.

Use references to support your responses as needed. Be sure to cite all references using correct APA style. Your responses should be free of grammar and spelling errors, demonstrating strong written communication skills.

Problems

In either a Word document or Excel spreadsheet, complete the following problems.

You may solve the problems algebraically, or you may use a financial calculator or an Excel spreadsheet.

If you choose to solve the problems algebraically, be sure to show your computations.

If you use a financial calculator, show your input values.

If you use an Excel spreadsheet, show your input values and formulas.

In addition to your solution to each computational problem, you must show the supporting work leading to your solution to receive credit for your answer.

Compute the following:

Assuming semi-annual compounding, what is the price of a zero coupon bond that matures in 3 years if the market interest rate is 5.5 percent? Assume par value is $1000.

Using semi-annual compounding, what is the price of a 5 percent coupon bond with 10 years left to maturity and a market interest rate of 7.2 percent? Assume that interest payments are paid semi-annually and that par value is $1000.

Using semi-annual compounding, what is the yield to maturity on a 4.65 percent coupon bond with 18 years left to maturity that is offered for sale at $1,025.95? Assume par value is $1000.

## Respond to three questions and solve three computational problems about the risk-and-return relationship.

Respond to three questions and solve three computational problems about the risk-and-return relationship.

Every investment carries a different level of risk and return. It is useful to explore different measures of risk and learn how to compare risk with the return, as well as differentiate between standalone risk and portfolio, or market, risk.

SHOW LESS

By successfully completing this assessment, you will demonstrate your proficiency in the following course competencies and assessment criteria:

Competency 2: Define finance terminology and its application within the business environment.

Explain what the coefficient of variation measures.

Calculate the dollar return on an investment.

Calculate the percentage of return on an investment.

Calculate the coefficient of variation of stocks.

Explain how risk is measured.

Competency 3: Evaluate the financial health of an organization.

Identify the total level of risk of a stock.

Define the concept of risk.

Identify a source of firm-specific risk.

Respond to the questions and complete the problems.

Questions

In a Word document, respond to the following. Number your responses 1–3.

Define risk, and explain how it is measured.

Identify a source of firm-specific risk. What is the source of market risk?

Explain what the coefficient of variation measures.

Use references to support your responses as needed. Be sure to cite all references using correct APA style. Your responses should be free of grammar and spelling errors, demonstrating strong written communication skills.

Problems

In either a Word document or Excel spreadsheet, complete the following problems.

You may solve the problems algebraically, or you may use a financial calculator or an Excel spreadsheet.

If you choose to solve the problems algebraically, be sure to show your computations.

If you use a financial calculator, show your input values.

If you use an Excel spreadsheet, show your input values and formulas.

In addition to your solution to each computational problem, you must show the supporting work leading to your solution to receive credit for your answer.

Two years ago, Conglomco stock ended at $73.02 per share. Last year, the stock paid a $0.34 per share dividend. Conglomco stock ended last year at $77.24. If you owned 200 shares of Conglomco stock, what were your dollar return and percent return last year?

Calculate the coefficient of variation for the following three stocks. Then rank them by their level of total risk, from highest to lowest:

Conglomco has an average return of 11 percent and standard deviation of 24 percent.

Supercorp has an average return of 16 percent and standard deviation of 37 percent.

Megaorg has an average return of 10 percent and standard deviation of 29 percent.

Year-to-date, Conglomco has earned a −1.64 percent return, Supercorp has earned a 5.69 percent return, and Megaorg has earned a 0.23 percent return. If your portfolio is made up of 40 percent Conglomco stock, 30 percent Supercorp stock, and 30 percent Megaorg stock, what is your portfolio return?