FIN 402 GUIDE Active Participation / fin402guide.com

FIN 402 GUIDE Active Participation FIN 402 Final Exam Guide FOR MORE CLASSES VISIT www.fin402guide.com   FIN 402 Investment Fundamentals and Portfolio Management Final Exam Guide True/False 1.___ ___ The balance sheet shows what assets the firm controls at a point in time and how it financed the assets. 2.___ ___ Free cash flow = Cash flow from operations – Capital expenditures + Disposition of property and equipment.

FIN 402 GUIDE Active Participation FIN 402 Week 1 Assignment Capital Markets and Investment Banking Process Paper FOR MORE CLASSES VISIT www.fin402guide.com   FIN402 Week 1 Assignment Capital Markets and Investment Banking Process Paper

FIN 402 GUIDE Active Participation FIN 402 Week 1 Assignment Case Problem 1.2 Preparing Carolyn Bowen’s Investment Plan FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 1.2 Preparing Carolyn Bowen’s Investment Plan Carolyn Bowen, who just turned 55, is employed as an administrative assistant for the Xcon Corporation, where she has worked for the past 20 years. She is in good health, lives alone, and has two grown children. A few months ago her husband died, leaving her with only their home and the

FIN 402 GUIDE Active Participation FIN 402 Week 1 Assignment Case Problem 1.2, 2.1, 2.2, 3.1, 12.1 FOR MORE CLASSES VISIT www.fin402guide.com   FIN 402 Week 1 Assignment Case Problem 1.2 Preparing Carolyn Bowen’s Investment Plan FIN 402 Week 1 Assignment Case Problem 2.1 Dara’s Dilemma: What to Buy? FIN 402 Week 1 Assignment Case Problem 2.2 Ravi Dumar’s High-Flying Margin Account FIN 402 Week 1 Assignment Case Problem 3.1 The Perezes’ Good Fortune FIN 402 Week

FIN 402 GUIDE Active Participation FIN 402 Week 1 Assignment Case Problem 2.1Dara’s Dilemma: What to Buy? FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 2.1Dara’s Dilemma: What to Buy? Dara Simmons, a 40-year-old financial analyst and divorced mother of two teenage children, considers herself a savvy investor. She has increased her investment portfolio considerably over the past five years. Although she has been fairly conservative with her investments, she now feels more

FIN 402 GUIDE Active Participation FIN 402 Week 1 Assignment Case Problem 2.2 Ravi Dumar’s High-Flying Margin Account FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 2.2 Ravi Dumar’s High-Flying Margin Account Ravi Dumar is a stockbroker who lives with his wife, Sasha, and their five children in Milwaukee, Wisconsin. Ravi firmly believes that the only way to make money in the market is to follow an aggressive investment posture—for example, to use margin trading. In fact, Ravi has built himself

FIN 402 GUIDE Active Participation FIN 402 Week 1 Assignment Case Problem 3.1 The Perezes’ Good Fortune FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 3.1 The Perezes’ Good Fortune Angel and Marie Perez own a small pool hall located in southern New Jersey. They enjoy running the business, which they have owned for nearly three years. Angel, a retired professional pool shooter, saved for nearly 10 years to buy this business, which he and his wife own free and clear. The

FIN 402 GUIDE Active Participation FIN 402 Week 1 Assignment Case Problem 12.1 Reverend Mark Thomas Ponders Mutual Funds FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 12.1 Reverend Mark Thomas Ponders Mutual Funds The Reverend Mark Thomas is the minister of a church in the San Diego area. He is married, has one young child, and earns a “modest income.” Because religious organizations are not notorious for their generous retirement programs, the reverend has decided he should do some

FIN 402 GUIDE Active Participation FIN 402 Week 1 DQ 1 FOR MORE CLASSES VISIT www.fin402guide.com   What are capital market instruments? How are they used? Which is most important? Explain your answer.

FIN 402 GUIDE Active Participation FIN 402 Week 1 DQ 2 FOR MORE CLASSES VISIT www.fin402guide.com   What is an asset class? How are asset classes selected? What factors affect the selection?

FIN 402 GUIDE Active Participation FIN 402 Week 1 DQ 3 FOR MORE CLASSES VISIT www.fin402guide.com   What is a derivative? What are the different types of derivatives? How do businesses use derivatives to mitigate risks?

FIN 402 GUIDE Active Participation FIN 402 Week 1 Individual Problem Set FOR MORE CLASSES VISIT www.fin402guide.com   The Problem Set is provided to you to enable you to practice the concepts outlined in the textbook. Select THREE completed problems from the assignment and post your solutions to those problems. 1. Creating prices for securities and allowing for liquidity are functions of

FIN 402 GUIDE Active Participation FIN 402 Week 1 Individual Weekly Question FOR MORE CLASSES VISIT www.fin402guide.com   Submit your Weekly Questions, with original questions, in a Microsoft Word or text file. Be sure to show your work to earn full credit. Do not use Investopedia, About.com, Wikipedia, or other generic internet websites as sources. Use credible sources only. Also, do not use quotes in lieu of a response in your own words.

FIN 402 GUIDE Active Participation FIN 402 Week 2 Assignment Asset Classes Paper FOR MORE CLASSES VISIT www.fin402guide.com   FIN402 Week 2 Assignment Asset Classes Paper

FIN 402 GUIDE Active Participation FIN 402 Week 2 Assignment Case Problem 2.1 Traditional Versus Modern Portfolio Theory Who’s Right FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 2.1 Traditional Versus Modern Portfolio Theory: Who’s Right? Walt Davies and Shane O’Brien are district managers for Lee, Inc. Over the years, as they moved through the firm’s sales organization, they became (and still remain) close friends. Walt, who is 33 years old, currently lives in Princeton, New Jersey. Shane, who is 35, lives in

FIN 402 GUIDE Active Participation FIN 402 Week 2 Assignment Case Problem 4.1 Coates’s Decision FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 4.1 Coates’s Decision On January 1, 2017, Dave Coates, a 23-year-old mathematics teacher at Xavier High School, received a tax refund of $1,100. Because Dave didn’t need this money for his current living expenses, he decided to make a long-term investment. After surveying a number of alternative investments costing no more

FIN 402 GUIDE Active Participation FIN 402 Week 2 Assignment Case Problem 4.1, 4.2, 2.1, 5.2, 13.1 (Part a,b,c,d) FOR MORE CLASSES VISIT www.fin402guide.com   FIN 402 Week 2 Assignment Case Problem 4.1 Coates’s Decision FIN 402 Week 2 Assignment Case Problem 4.2 The Risk-Return Tradeoff Molly O’Rourke’s Stock Purchase Decision FIN 402 Week 2 Assignment Case Problem 2.1 Traditional Versus Modern Portfolio Theory Who’s Right FIN 402 Week 2 Assignment Case Problem 5.2 Susan Lussier’s

FIN 402 GUIDE Active Participation FIN 402 Week 2 Assignment Case Problem 4.2 The Risk-Return Tradeoff Molly O’Rourke’s Stock Purchase Decision FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 4.2 The Risk-Return Tradeoff: Molly O’Rourke’s Stock Purchase Decision Over the past 10 years, Molly O’Rourke has slowly built a diversified portfolio of common stock. Currently her portfolio includes 20 different common stock issues and has a total market value of $82,500. Molly is at present considering the addition of 50

FIN 402 GUIDE Active Participation FIN 402 Week 2 Assignment Case Problem 5.2 Susan Lussier’s Inherited Portfolio Does It Meet Her Needs FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 5.2 Susan Lussier’s Inherited Portfolio: Does It Meet Her Needs? Susan Lussier is 35 years old and employed as a tax accountant for a major oil and gas exploration company. She earns nearly $135,000 a year from her salary and from participation in the company’s drilling activities. An expert on oil and gas taxation, she is not

FIN 402 GUIDE Active Participation FIN 402 Week 2 Assignment Case Problem 13.1 Assessing the Stalchecks’s Portfolio Performance (Part a,b,c,d) FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 13.1 Assessing the Stalchecks’s Portfolio Performance Mary and Nick Stalcheck have an investment portfolio containing four investments. It was developed to provide them with a balance between current income and capital appreciation. Rather than acquire mutual fund shares or diversify within a given class of investments, they

FIN 402 GUIDE Active Participation FIN 402 Week 2 DQ 1 FOR MORE CLASSES VISIT www.fin402guide.com   What are different ratio categories? Which category is most important to bondholders? Why? Which category is most important to stockholders? Why?

FIN 402 GUIDE Active Participation FIN 402 Week 2 DQ 2 FOR MORE CLASSES VISIT www.fin402guide.com   What are liquidity ratios? Why are they important? How may an investor use liquidity ratios when making investment decisions?

FIN 402 GUIDE Active Participation FIN 402 Week 2 DQ 3 FOR MORE CLASSES VISIT www.fin402guide.com   What are different ratio categories? Which category is most important to bondholders? Why? Which category is most important to stockholders? Why?

FIN 402 GUIDE Active Participation FIN 402 Week 2 Learning Team Assignment Portfolio Selection Paper (2 Papers) FOR MORE CLASSES VISIT www.fin402guide.com   Resources: Electronic Reserve Readings, Internet, University Library Select one publicly traded bond. Select five organizations from the following list. These organizations represent the stocks that comprise your portfolio. Cisco Systems, Inc.®

FIN 402 GUIDE Active Participation FIN 402 Week 2 Weekly Problem Set FOR MORE CLASSES VISIT www.fin402guide.com   The Problem Set is provided to you to enable you to practice the concepts outlined in the textbook. Select THREE completed problems from the assignment and post your solutions to those problems. In your solutions, provide an explanation as to why you choose the answer.

FIN 402 GUIDE Active Participation FIN 402 Week 2 Weekly Question FOR MORE CLASSES VISIT www.fin402guide.com   1. (2 point) Calculate the expected return of the following stocks using CAPM. You can use internet websites to get Beta figures, such as Yahoo! Finance, Google Finance, MSN Money, Marketwatch, etc. Use 4% as the risk free rate and 6% as the risk premium. a. Proctor & Gamble (PG) b. Microsoft (MSFT)

FIN 402 GUIDE Active Participation FIN 402 Week 3 Assignment Case Problem 6.1 Sara Decides to Take the Plunge FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 6.1 Sara Decides to Take the Plunge Sara Thomas is a child psychologist who has built a thriving practice in her hometown of Boise, Idaho. Over the past several years she has been able to accumulate a substantial sum of money. She has worked long and hard to be successful, but she never imagined anything like this. Even so, success

FIN 402 GUIDE Active Participation FIN 402 Week 3 Assignment Case Problem 6.1, 6.2, 7.1, 7.2, 8.1, 8.2, 9.2 FOR MORE CLASSES VISIT www.fin402guide.com   FIN 402 Week 3 Assignment Case Problem 6.1 Sara Decides to Take the Plunge FIN 402 Week 3 Assignment Case Problem 6.2 Wally Wonders Whether There’s a Place for Dividends FIN 402 Week 3 Assignment Case Problem 7.1 Some Financial Ratios Are Real Eye-Openers FIN 402 Week 3 Assignment Case Problem 7.2 Doris Looks at an Auto

FIN 402 GUIDE Active Participation FIN 402 Week 3 Assignment Case Problem 6.2 Wally Wonders Whether There’s a Place for Dividends FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 6.2 Wally Wonders Whether There’s a Place for Dividends Wally Wilson is a commercial artist who makes a good living by doing freelance work—mostly layouts and illustrations—for local ad agencies and major institutional clients (such as large department stores). Wally has been investing in the stock market for some

FIN 402 GUIDE Active Participation FIN 402 Week 3 Assignment Case Problem 7.2 Doris Looks at an Auto Issue FOR MORE CLASSES VISIT www.fin402guide.com   Case Problem 7.2 Doris Looks at an Auto Issue Doris Wise is a young career woman. She lives in Phoenix, Arizona, where she owns and operates a highly successful modeling agency. Doris manages her modest but rapidly growing investment portfolio, made up mostly of high-grade common stocks. Because she’s young and single and has no pressing

FIN 402 GUIDE Active Participation / fin402guide.com We are helping you just visit us