The optimal wherewithal structure of a firm is a function of the?
Question:The optimal capital structure of a firm is a function of the __________.a.business risk of the firm
b.duty structure
c.a and b
d.none of the above
Answers:
C.
The risk will determine how much is too much risk. If the firm is cyclic, then the amount of debt should be lower so that the firm can still brand interest payment during the down times.
The duty structure determines the amount of tax shield and also factor into the optimal capital structure. More levy means more debt.
Edit: By the channel, Mark, I've gone through your papers a few years back and they be rather interesting. I would enjoy sent an email, but you don't have your up here on Answers and I didn't really want to invade your privacy by going through other channel.
Other Answers:
C.
Higher taxes give a company more of an pre-eminence to having debt -- because payments to debtholders are tariff deductible (while payments to equity investors are not).
Business risk is also a factor. The more debt you have, the better the probability of defaulting (going bankrupt). If deadweight costs of bankruptcy are giant then you don't want too much debt & obligation to back away. Deadweight costs include legitimate fees, accounting fees, loss of business because no one requirements to buy from you if you go out of business, inability to get hold of parts because crditors want cash, etc.
Where is the best place online to start buying stocks next to little money?
Question:I only own about 500.00 to start beside .. just want to mess about and get aware with the souk.Answers:
I use Ameritrade and started with $1500. First you inevitability to send them a check or do an electronic verbs. Then do some research. Ameritrade has research features, and Yahoo Finance have free research. Do a lot of reading and upright luck!
Other Answers:
You should consider your risk tolerance, time horizon, and investment objectives before investing. Read the prospectus and appreciate the fees and expenses.
http://www.sharebuilder.com is the cheapest place to start. Consider buying ETFs of a broad index (like the Russell 2000) to achieve diversification and dwindle risk. You can do that at sharebuilder.com.
This advice is granted next to the understanding that you will be 100% responsible for determining the suitability and risk of any investment. Use at your own risk. Talk to your financial advisor.
Source(s):
http://www.sharebuilder.com Hi okay you can try scottrade.
Good Luck
Pedro
why NYSE use simbels?
Question:Answers:
In the old days (well, prior to the precipitate 1980s) the NYSE transmitted prices using a ticker tape. The ticker cartridge had a slow baud rate -- printing nearly 8-10 characters per second. That meant that they needed to cut down on the number of characters sent on the cartridge. They not only abbreviated the designation to the three character symbol, they also truncated the price. For example, if the price be 85 1/2 they would transmit 5 1/2. They would only do this when it be unambiguous.
Other Answers:
It's easier than spelling out the company names and it's for early reference.
It is an graceful, efficient route to identify individual corporations and and various classes of corporate stocks. An other agency would be to identify them is to use the CUSIP,a 9-15(?) digit number which is more accurate, but very difficult for family to employ.
Consider your friends, Charles and Bill Jones. They both own different CUSIPs (9 digit Social Security numbers). Would you want to identify each of them by their own numbers?
Example: "Hey 372-45-8467, lt's budge play tennis".
what is the function of registars and banckers who share contained by an ipo?
Question:related to stock marketAnswers:
I don't know what you miserable by "registars" -- are you referring to the fact that a company have to register with the SEC beforehand going public? If so, it is part of the process to ensure that investors receive as much information more or less the new companies as possible.
As for the bankers, their primary role is to find buyers for the stock. A syndicate of several bank is formed to market the securities. They step on a 30-day "road show" where they and senior regulation from the firm visit next to potential buyers. They drum up interest within the stock.
After selling the stock and taking the firm public, these banks afterwards usually act as market-makers surrounded by the stock -- meaning that they agree to buy from family who want to sell and put on the market to people who want to buy.
They thieve about 7% of the total amount raise as their fees.
How are mortgage stocks effect (ie CMO, IMH) by interest rate hikes?
Question:Answers:
As interest rates fall population will refinance at the new lower rates. Investors contained by mortgage backed securities beside have their principal returned to them untimely. This is known as "reinvestment risk", as investors will enjoy to find a new place for the money and the interst rates will be lower. CMO's try to midigate this risk by establishing trantches (www.investopedia.com/terms/t/...
As interest rates rise pre-payments will decline reducing reinvestment risk. However, the investor will still be exposed to interest rate risk. Meaning that spanking new issues of mortgage backed securities will hold out higher returns. The rates of evasion will increase for marginal borrowers with adjustable rates. In most cases this won't affect the investor, as the guard will foreclose and liquidate the asset. In both cases you will have credit risk, but this contained by minor, as they are backed by the assets (properties).
* Use this information at your own risk. Consult your financial advisor.
Why are gas prices so large? (Please answer within glorious detail)?
Question:Answers:
Basically it comes down to supply and demand. There is increasing emergency for oil (mostly from developing countries resembling China and India, but demand contained by the US is increasing also). OPEC is already producing near its size, coupled with no relatively foreign oil refinery having be built, this causes the an increasing emergency against a slower (negligible) increase in supply of the graceful oil used for gasoline. Hurricane Katrina knock out some production capacity which is still not completely up and running. Also near are other less significant reason such as the changing of fuel additives from mtbe to ethanol (this have been done for environmental reasons). To put a few non-truths to bed... The grease companies were NOT found to be doing any price gouge (illegally increasing prices beyond unreasonable economic fundamentals). Second, everyone desires to blame President Bush for increasing prices when in reality he no longer has any personal investments contained by oil companies(he did this specifically to discredit these blame most likely); in reality President Bush has probably more to lose from illustrious oil prices than any other single individual alive. He requests a strong economy, near little inflation and needs that backing for party elections this crash down. If you want a specific group of people to blame, you should look at commodity traders themselves, they are the ones who control the international price change from day to morning and are the ones who fear supply disruptions (such as the one that occured surrounded by Africa, threats from Iran and Venezuela recently) and terrorists act which affect the flow of grease (the so called dread premium).
Other Answers:
Because of Bush
Will I think it's because the world's resources are running out and because hurricane Katrina hit
They are not that large if you factor in inflation.
Take a look at the websites below and thankfulness for playing. :)
Source(s):
http://zfacts.com/p/35.html
http://inflationdata.com/Inflation/images/charts/Oil/Gasoline_inflation_chart.htm
Approx. 55% of the price of gas is directly related to the price of oil. Since grease has be around the $70/barrel range, gas prices are dignified. I think the USA Today have an article on it either Monday or yesterday.
Supply and Demand.
As long as you save buying more and more gasoline every year prices will go up.
I suggest you buy a 1999 (or Newer) Volkwagen New Beetle (Or any other model) near a DIESEL engine.
In Europe gasoline cost twice as much as in the United States of America and 40% of adjectives cars are now running on Diesel.
The EU is in truth reducing their dependence on Oil and they are actually richer than the United States of America.
No wonder everybody is selling their Dollars to buy Euros.
am i going to grasp a rich?
Question:Answers:
If you do believe it then you will. It's we call for it the power of mind. If your mind keep motto, "yes, I am going to get rich" later the power of the word will effect your action. In another word, your act will be guided by your obsession that lays reverberatingly in your mind.
Other Answers:
Your probability of getting rich (in monetary terms) are slim. Try gettin rich in house or morals or something. Or in monetary expressions, just try. You might or you might not, are you sense lucky?
The Magic 8 Ball says "Ask again after that."
that all depends on what you do...
if u work at a polite paying job... and no i dont connote fry flipping @ burger king! lmao
Will Immune Response CorP (IMNR) ever bounce back from .13 per share?
Question:This stock was founded by Jonas Salk and have been around for over 20 years and have fluctuated between $100+ per share down to about .05. I digit it is a survivor.Answers:
buy it, its only 13 cents. what do you hold to lose. imagine it going wager on up. its going to go up no thing what in similar to 10 years. but if it crashes you wont lose much.
What percentage of Charles Schwab customers in reality log within to the firm's pattern site? (I'm studying nouns.)
Question:Answers:
More than a half:
The Charles Schwab Corporation (NYSE:SCH), through Charles Schwab & Co., Inc. (member SIPC), U.S. Trust Corporation, CyBerCorp, Inc. and its other operating subsidiaries, is one of the nation's largest financial services firms near 7.4 million active accounts and $944 billion contained by client assets. As of the third quarter 2000, Schwab served 4.2 million online investor accounts with $420 billion within assets.
Is anyone identifiable near forex?
Question:Answers:
I do forex trading..If you would like to swot up free..yes free, you can visit -
http://the-forex-trading.blogspot.com
Other Answers:
forex stands for foriign exchange contained by other words forex reserves are the amount of currency cash you own of non native or non residential country.
Yes, I trade it a touch.
How risky are bonds and how does the bond souk work?
Question:Answers:
When interest rates are going up, avoid long-term bonds. You might want to look at I Bonds as the rate will vary every 6 months.
Other Answers:
There is no short answer to your interview because there are so abundant variables involved. There are many types of bonds. The safes are Treasury Bonds issued by the US senate. Perhaps the riskiest are coined "Junk Bonds", which are higher elastic corporate bonds with hugely low ratings. If you wish to invest contained by corporate bonds make sure its rating aligns near your risk tolerance. The safest corporates are called "Investment Grade". There are still lots other types of bonds out there beside varying risks. Another low risk option are municipal bonds, which are commonly ideal for investors within a high tariff bracket because of the tax exemptions they qualify for. Make sure you fully take the various provisions surrounded by bonds which can increase the risk, ie. call provisions. Also, a standard rule of thumb is that the longer the term of the bond the greater the inherent interest rate risk. Hope this help!
What is the probability that Sitco will run out of bread during the coming year?
Question:Sitco has a total of $12 million contained by cash and marketable securities. Free bread flows during the coming year are expected to be $47 million with a standard deviation of $31 million. Assume that Sitco's free brass flows are approximately normally distributed. What is the probability that Sitco will run out of currency during the coming year?a.29.98%
b.34.83%
c.97.13%
d.2.87%
Answers:
Mean is 47. SD is 31. You want the P ( Cash < -12M). That's 1.9 SDs.
P ( Z < -1.9) = 2.87%
Other Answers:
It depends.
what does Jim Cramer be determined when he say "buya"?
Question:Answers:
Booya means vitally, "bam!", "in your face", and "hell yeah", adjectives at the same time. A possession that self congratulates the user, describes excitement, lets others know the brilliance of the celebration or rouse as well as the superiority of the user, and is used as an exclamation of those thinking.
What does NIFTY stand for surrounded by context of Indian Stock Market?
Question:Answers:
S&P CNX Nifty is a well diversified 50 stock index accounting for 24 sector of the economy. It is used for assorted purposes such as benchmarking fund portfolios, index based derivatives and index funds.
Other Answers:
S&P CNX Nifty is a okay diversified 50 stock index accounting for 25 sectors of the discount. It is used for a variety of purposes such as benchmarking fund portfolios, index base derivatives and index funds.
S&P CNX Nifty is owned and managed by India Index Services and Products Ltd. (IISL), which is a shared venture between NSE and CRISIL. IISL is India's first specialised company focused upon the index as a core product. IISL hold a consulting and licensing agreement beside Standard & Poor's (S&P), who are world leaders in index services.
The average total traded worth for the last six months of adjectives Nifty stocks is approximately 49.8% of the traded value of adjectives stocks on the NSE
Nifty stocks represent about 56.5% of the total flea market capitalization as on March 31, 2006.
Impact cost of the S&P CNX Nifty for a portfolio size of Rs.5 million is 0.07%
S&P CNX Nifty is professionally maintained and is just right for derivatives trading
What does the DOW Jones average be a sign of?
Question:Answers:
Dow Jones Averages Overview
The Dow Jones Industrial, Transportation and Utilities Averages are maintained and reviewed by editors of The Wall Street Journal. For the sake of continuity, composition change are rare, and mostly occur individual after corporate acquisitions or other dramatic shifts contained by a component's core business. When such an event necessitates that one component be replaced, the entire index is reviewed. As a result, multiple component change are often implement simultaneously.
While there are no rules for component screening, a stock typically is added only if it have an excellent reputation, demonstrates sustained growth, is of interest to a large number of investors and accurately represents the sector(s) covered by the average.
Unlike the DJTA and DJUA, which include solitary transportation and utilities stocks, the DJIA is not limited to traditionally defined industrial stocks. Instead, the index serves as a method of the entire U.S. market, covering such diverse industries as financial services, technology, retail, entertainment and consumer produce.
Calculation
The Dow Jones averages are unique contained by that they are price weighted rather than open market capitalization weighted. Their component weightings are therefore artificial only by change in the stocks' prices, surrounded by contrast with other indexes' weightings that are artificial by both price changes and change in the number of shares outstanding.
When the averages be initially created, their values were calculated by simply totalling up the component stocks' prices and dividing by the number of components. Later, the practice of adjusting the divisor be initiated to smooth out the effects of stock splits and other corporate actions.
The current divisor values are as follows: DJIA 0.12493117, DJTA 0.22687161 and DJUA 1.46461169.