The Capital asset Pricing Model (CAPM) isn't wrong. It just doesn't go far enough
Essay - 4 pages - Finance
The capital asset pricing model (CAPM) is a mathematical model that explains the relationship between risk and return in a rational equilibrium market. The model is used in finance to determine a theoretically appropriate required rate of return asset, if that asset is to be added to an existing...
Corporate finance: Financial analysis of Ford and BMW
Essay - 9 pages - Finance
This report will deal with the financial analisys of two main competitors of car market. Effectively, Ford and BMW (Bayerish Motoren Werke AG) are two important car manufacturers in the world. Even if they are competing on the same market, we can't say that these two manufacturers are...
Financial aspects of international operations: Case study - weapons export to Brazil
Case study - 18 pages - Finance
In the framework of the “financial aspects of international operations” we were invited to analyze the case of exporting weapons from Belgium to Brazil. We are going to introduce the analysis with a description of the weapon sector in Belgium and in Brazil. In this description, we will...
The role of the TARGET system in the European financial integration
Essay - 4 pages - Finance
When Euro was introduced in 1999 as the European single currency, a large value payment system was also set up. The so-called Trans-European Automated Real-time Gross settlement Express Transfer (TARGET) system was expected to be the basis of both financial integration and European Central Bank...
The prospects and limitations of a global governance of finance
Essay - 4 pages - Finance
In our modern societies, market mechanisms shape the modes of production and distribution of goods and services, particularly more and more through the financial sphere, “that part of an economy that links savings with investments through different instruments denominated in monetary...
Introduction to research & development decision analysis
Essay - 5 pages - Finance
A firm optimizes its market value when it successfully implements strategies that generate positive discounted cash flows applied against initial investments with net present value (NPV) greater than zero. One purely economic analysis, which serves as a guidepost to this work, applies a...
Britain and the euro: not for yesterday, not for today, not for ever...?
Essay - 14 pages - Finance
The EMS's Exchange Rate Mechanism (ERM) has long been a source of political controversy, playing for instance a relevant part in the final drama of Margaret Thatcher's resignation as a serving Prime Minister. Britain entered the ERM in 1990 to exit from it in 1992 and afterward, the new...
Textbooks say that banks transform risks: What are the risks involved? and how are they transformed?
Essay - 4 pages - Finance
Financial crisis may be very damaging for the whole society, as bank failures can either lead to runs or to panic. Bank runs occurs when problems at a bank “undermine depositors' confidence.” The depositors' reaction is to rush to withdraw their money since they know that the bank's...
Futures and options: working
Thesis - 4 pages - Finance
Since the 1970's, the trade of derivative securities has over expanded and has characterised most of the transactions in the world financial marketplaces. However, derivatives do not constitute a new notion in the financial world, since they first appeared in the 17th century, with the trade of...
Accounting report to the board of direction
Essay - 3 pages - Finance
Today our company is using a cost-plus pricing approach to price its product. In fact this method used to price our products can be inadequate in certain cases for our firm. In the usual course this method is used in a monopoly situation. Today, we have to try to notify if our company has a...
The 'true and fair view' in financial reporting
Thesis - 4 pages - Finance
Originally, one major concept was stressed in the United Kingdom: the ‘true and fair view' in financial reporting. This concept was so popular that it even overrode the little regulation that existed then. In recent years, the increase in accounting regulation started to put in jeopardy the...
Operational auditing
Essay - 9 pages - Finance
According to the Institute of Internal Auditors, Internal Auditing could be defined as "an independent, objective assurance and consulting activity designed to add value and improve an organisation's operations. It helps an organisation accomplish its objectives by bringing a systematic,...
Economic activity, investments and technological policy
Essay - 7 pages - Finance
The concept of competitiveness of the national economies and the viability of the national productive systems in the context of globalization focuses on the role of innovative competitive advantages, which are related to the technological know-how. The competitive advantages of low production...
A look at corporate taxation
Essay - 4 pages - Finance
As any business withdraws and employs reduction of all or parts of its assets to cash or cash equivalents to its shareholders, the last step that is usually undertaken is the complete liquidation of the corporation and this denotes the end of the corporation's life as well as the cessation of...
Money advice
Essay - 6 pages - Finance
The trend of people being subjected to financial difficulty is increasing. The easy access to credit may provide convenience but it can also lead to overspending and consequently, overindebtedness. Some life-changing events such as loss of job and divorce can substantially add to debts. Being...
Sample resume for financial analyst
Sample resume - 2 pages - Finance
An innovative, energetic, goal-oriented professional with solid financial and pricing experience. Extensive experience in reviewing and analyzing cost estimates, defining requirements for cost models and defining consistent methods for establishing cost estimates. Exceptional financial analysis...
Foreign Direct Investment (FDI) theories: An overview of the main FDI theories
Essay - 6 pages - Finance
Foreign Direct Investment (FDI) acquired an important role in the international economy after the Second World War. The increase of the volume of foreign direct investment was so sharp that economists considered FDI as a new stage of Capitalism after the classic Marxist theories of Imperialism....
Risk management and the use of derivatives
Essay - 7 pages - Finance
This paper investigates the use of derivatives in Risk Management. Deriving the value from an underlying asset or an index representing assets, derivatives bear the ability to accelerate gains or losses for a small initial outlay thus assisting corporations to manage risk and return...
Interdependence of norms in budgeting
Essay - 7 pages - Finance
Key (1940) contended that there was a lack of "attention from the basic budgeting problem (on the expenditure side), namely: On what basis shall it be decided to allocate x dollars to activity A instead of Activity B?" (1137, emphasis in original) The literature of the era was concerned...
Capital budgeting methods
Essay - 7 pages - Finance
Capital budgeting is concerned with the process of producing, evaluating, selecting and controlling capital expenditures. In this context, capital budgeting decisions are critical. Winning projects typically produce positive cash flows for a long period of time, while failing projects do not...
Top-down or bottom-up valuation process?
Essay - 6 pages - Finance
Investors typically select investments that provide a rate of return, which compensates them for their time, the expected rate of inflation and the risk involved. In this context, the value of an investment is estimated based on the required rate of return, which is calculated using either the...
Efficient capital markets and the importance of behavioral finance
Essay - 7 pages - Finance
Efficient capital markets allow to consumers and companies to invest savings, borrow, and manage risk in the most effective way. Capital markets bring together companies, that seek to raise capital to invest in future performance and investors, who seek for a profitable return on their...
Critical discussion on the definition of assets and liabilities contained in the IASC Framework
Essay - 6 pages - Finance
Although it may come as a surprise to many non- accountants, the accounting profession internationally has encountered a great deal of problems in arriving at robust definitions for the elements of financial statements. Defining assets, liabilities, and gains and losses (income and expenditure)...
The Ethical Finance Between Paradigm and Paradox
Dissertation - 84 pages - Finance
Linked with morals, with deontology and right, ethics is a reflection towards the research of the Good, a moving concept by essence. What deserves, nowadays, such an imminent questioning on ethics? Because of the increased pressure of the governments, increasing awareness of the organizations...
An investigation in to the problems with corporate pension funds
Essay - 12 pages - Finance
Beginning with the New Deal, efforts to secure the social and economic prosperity of employees after retirement have been developed. This process has lead to the evolution of the current system of corporate pension funds. Although millions of American workers invest in these funds each year, few...
An Investigation Into the State of Microfinance in Benin (2005)
Essay - 16 pages - Finance
Research on the economic and social development of countries in Africa demonstrates that there are a host of issues that must be addressed in the context of improving daily economic conditions for individual citizens. While some of these issues have been addressed by government agencies and...
Transatlantic trade (Amos Beyan)
Essay - 2 pages - Finance
The author defines racism to be “the ideology of exclusion or separation of people because of the color of their skin.” This separation was very prominent during the transatlantic trade because so many countries, including those of Africa, were involved in racism, by engaging in slave...
Harpoon Brewery
Essay - 2 pages - Finance
The brewing process begins with four ingredients: water, barley, hops and yeast. Harpoon does not put any preservatives or additives in their beer. Each step in the process can process 3,800 gallons at a time. There is one machine for each step except fermentation, which has 22 uni-tanks. A...
The Inner-Workings of Biogen Idec Inc.
Essay - 2 pages - Finance
As noted earlier in this report, Biogen Idec Inc. is an amalgamation of strengths. It has been the merger between IDEC Pharmaceuticals and Biogen. These two pharmaceutical giants have been as one corporation only as of November of 2003; therefore, there have been a very small number of...
A Financial Comparison between Biogen and Corixa
Market study - 2 pages - Finance
Based on the ratios in Appendix A, it seems that Biogen does not have a high profitability. The values of the ROE, ROA, and Earnings per Share ratios are all negative, and the Profit Margin ratio is only 1.2884%; however, when compared to its competitor, Corixa Corporation, these numbers...
