Answer:
D. Discounted cash flows method.
Explanation:
The discounted cash flow method is the method in which it discounted all the cash flows to their their present value
Also it provides the consideration with respect to the times value of money while taking decision related to capital budgeting
hence, the correct option is D
And all the other options are incorrect
Answer:
The correct answer is letter "A": computation of business logic.
Explanation:
Business Logic refers to a series of algorithms that are the basis of different business software. Business logic implements higher-level algorithms to process workflows and data of organizations to generate an accurate output. The Internet itself did not bring business logic to the surface but the implementation of Information Technology (IT) to business.
Answer:
Mutual Funds are simply a way to pool money together and buy more stocks. You invest into a mutual fund along with many other people. Then your pooled money is invested by the manager of the mutual fund. They are generally conisdered safe as they are run by "stock gurus".
The truth is that no business is the same and many
micro-businesses can get started for as little as $3,000 or less. These
businesses are often home-based sole proprietorships with low upfront
investments.
Answer:
A) the implied 1 year forward rates respectively 9,8 , 11,81 and 13,83 according to the formular
Explanation:
b) pure expactations true then
1.108²/1.098 - 1 =11.81% for a two year bond
1.118²/1.108 - 1 = 12.81% for a three year bond
The answere: The will be a shift upwards in next years curve.
c) Assume a par of 1000
in the next year a two year zero coupon bond will be a year zero and sell at 1000/1.1181 = 894.37 to get the return we take divide selling prices at year zero the trading price according to ytm is 1000/1.108² =814.55
therefore expected return 894.37/814.55= 9.79%
c2 the zero coupon bond at three year zero is trading at 1000/1.1282 = 886.446 and according to the ytm the coupon is trading at 1000/13.83^3= 715.607
therefore the expected return is
785.711/715.607=9.79%
