Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Financial Management Expert

Answer the following problems.

problem 1) What do you mean by Financial Management? Describe different types of financial decisions that link the other important function of management like Marketing and HRM.

problem 2) What is an optimal capital structure? describe the way to achieve the optimal capital structure.

problem 3) What are the factors which influence dividend policy of a firm? What must be the difference in the dividend policy for a small firm and a large company?

problem 4) Compute the market price of the share of Saif Ltd and analyse the results with Valuation Model and dividend growth model from the following data

Earnings
per share                                                Rs 12
Dividend per share                                   Rs 06
Cost of Capital                                          16%
Internal rate of return on investment           20%
Retention ratio                                          50%

problem 5) Siddiqui Ltd is considering a new project which requires an investment of Rs 500 lakhs. The project is expected to yield the following gross profits (before depreciation and tax)

Year                     1         2          3         4        5
Gross Profit         170    170       180      180    140

The cost of raising the additional capital is 14% and assets are to be depreciated at 20% on straight line basis. The scrap value is nil at the end of five years. Income tax rate is 50%. Compute the NPV, PI and Payback period Present value of Re 1 is as follows:

Year                         14%
1                              0.88
2                               0.77
3                               0.67
4                               0.59
5                               0.52

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M94842

Have any Question? 


Related Questions in Financial Management

The current spot exchange rate is yen10943 a particular

The current spot exchange rate is ¥109.43/$. A particular commodity sells for $5,000 in the United States and ¥600,000 in Japan a. Does the law of one price hold? If not, explain how to profit through arbitrage. b. If it ...

In a perfectly efficient market an active strategy mutual

In a perfectly efficient market, an active strategy mutual fund that charges a 1% fee has about a 47% chance of beating the index net of fee. In a universe of 5,000 funds, how many funds would you expect to beat the inde ...

Capital budgeting decisions include determining when long

Capital budgeting decisions include determining when long term investments, such as an equipment purchase, are necessary and worth pursuing. One method of capital budgeting process is to determine the Net Present Value. ...

A company expects to earn 23 million in income this coming

A company expects to earn $23 million in income this coming year. Its target capital structure is 30% debt, 15% preferred stock, and 55% common equity financing. The company normally pays a dividend equal to 27% of its e ...

Planning and budgeting in health human services finance

Planning and Budgeting in Health Human Services Finance Mode Discuss the differences between a simple budget and a flexible budget. Be sure to include specifics related to the impact on variance analysis.

Two parcels of land are being considered for a new office

Two parcels of land are being considered for a new office building. Both sites cost the same amount but differ mainly in their annual property tax assessments. The parcel in City A has a current property tax of $15,500 p ...

On average it costs an organization six times more to sell

On average, it costs an organization six times more to sell to a new customer than to sell to an existing customer. As the co-owner of a medium-sized sports equipment distributor, you have recently been notified that sal ...

At an output level of 46000 units you calculate that the

At an output level of 46.000 units, you calculate that the degree of operating leverage is 3.20. Suppose fixed costs are $130,000. What is the operating cash flow at 40.000 units?Operating cash flow $ What is the new deg ...

Value of operations of constant growth firm emc corporation

Value of Operations of Constant Growth Firm EMC Corporation has never paid a dividend. Its current free cash flow of $520,000 is expected to grow at a constant rate of 4.2%. The weighted average cost of capital is WACC = ...

Nabil is considering buying a house while he is still at

Nabil is considering buying a house while he is still at university. The house costs $250,000, today. Renting out part of the house and living in the rest over his five years at school will net, after deducting expenses, ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen