Managerial Finance MBA 648 P.V. Viswanath Comments for beginning of class Spring 2010

P.V. Viswanath2 Issues from March 8  PV formulas: Annuity, Perpetuity  Evaluating Financial Statements  EAR, APR  Deriving PV from real life situations  Calculating the price of a stock  Cash flow formula  Law of one price  To get a better understanding of finance and use that information and understanding to better comprehend what is happening in financial markets

P.V. Viswanath3 Issues from March 8 (contd.)  Speak more slowly  You’re going too slowly  You’re going too fast  You over-complicate things – we all know the basics of present value  The MFL problems are too simple; your exam problems are much more difficult.