Search
- Filter Results
- Location
- Classification
- Include attachments
- https://biz.libretexts.org/Bookshelves/Finance/Introduction_to_Financial_Analysis_(Bigel)/03%3A_Part_III-_The_Time_Value_of_Money/11%3A_The_Time_Value_of_Money-_Annuities_Perpetuities_and_Mortgages
- https://biz.libretexts.org/Bookshelves/Finance/Introduction_to_Financial_Analysis_(Bigel)/04%3A_Part_IV_Interest_Rates_Valuation_and_Return/12%3A_Fixed_Income_Valuation
- https://biz.libretexts.org/Bookshelves/Finance/Introduction_to_Financial_Analysis_(Bigel)/02%3A_Part_II-_Ratio_Analysis_and_Forecasting_Modeling
- https://biz.libretexts.org/Bookshelves/Finance/Introduction_to_Financial_Analysis_(Bigel)/01%3A_Part_I._Financial_Statements_and_Ratio_Analysis_and_Forecasting/03%3A_Financial_Statements_Analysis-_The_Income_Statement/3.09%3A_Inventory_Costing_Calculations-_A_Closer_Look_at_the_COGS_and_Ending_Inventory_ComputationsUnder LIFO, we must take the last-in, first-out order to compute the sum of the units sold and to arrive at the COGS number. It is permissible for the company to maintain two sets of books, one for fi...Under LIFO, we must take the last-in, first-out order to compute the sum of the units sold and to arrive at the COGS number. It is permissible for the company to maintain two sets of books, one for filing taxes to the Internal Revenue Service (the IRS) and the other for “reporting.” Moreover, it can use varying methods for different inventory items – FIFO for this and LIFO for that.
- https://biz.libretexts.org/Bookshelves/Finance/Introduction_to_Financial_Analysis_(Bigel)/02%3A_Part_II-_Ratio_Analysis_and_Forecasting_Modeling/05%3A_Financial_Ratios_and_Forecasting_Liquidity_and_Solvency_Ratios/5.01%3A_Chapter_Five-_Learning_OutcomesLearning Outcomes In this chapter you will: Place Ratio Analysis within the forecasting context Implement Cross-sectional and Longitudinal Analyses Distinguish Liquidity from Solvency Issues State fro...Learning Outcomes In this chapter you will: Place Ratio Analysis within the forecasting context Implement Cross-sectional and Longitudinal Analyses Distinguish Liquidity from Solvency Issues State from rote memory all Liquidity and Solvency Ratios Interpret the meaning of each ratio Apply each ratio in context Speculate as to why a ratio may have the value it reflects
- https://biz.libretexts.org/Bookshelves/Finance/Introduction_to_Financial_Analysis_(Bigel)/04%3A_Part_IV_Interest_Rates_Valuation_and_Return/13%3A_Interest_Rates/13.04%3A_Fixed_Income_RisksInflation Risk– the risk that the return, i.e., the interest payments, will be eroded over time by inflation, i.e., a reduction in the purchasing power of the interest payments. Should rates go down, ...Inflation Risk– the risk that the return, i.e., the interest payments, will be eroded over time by inflation, i.e., a reduction in the purchasing power of the interest payments. Should rates go down, the reinvestment rate will be less than expected (or less than it was at the time of purchase) and the investor’s savings at the bond’s maturity (i.e., the bond’s “future value”) will have accumulated to less than that which was originally anticipated.
- https://biz.libretexts.org/Bookshelves/Finance/Introduction_to_Financial_Analysis_(Bigel)/04%3A_Part_IV_Interest_Rates_Valuation_and_Return/12%3A_Fixed_Income_Valuation/12.02%3A_Security_Return-_The_Holding_Pattern_Return_(Raw_Calculation)In order to figure the return on an asset (a percent), it is useful to first outline the various components of the return on the asset – and then to calculate the return. Alternatively, we could have ...In order to figure the return on an asset (a percent), it is useful to first outline the various components of the return on the asset – and then to calculate the return. Alternatively, we could have calculated the HPR by focusing only on the profit (“Π”), in which case, we would have left out the “-1” expression at the end. This approach ignores the length of the holding period and the timing of the cash flows.
- https://biz.libretexts.org/Bookshelves/Finance/Introduction_to_Financial_Analysis_(Bigel)/04%3A_Part_IV_Interest_Rates_Valuation_and_Return/14%3A_Equity_Valuation_and_Return_Measurement/14.15%3A_Capital_GainsIt is interesting to note that, if G > 0, the model will automatically generate capital gains. That is to say that next year’s price will be greater than last year’s by 5%, or the same as the stock’s ...It is interesting to note that, if G > 0, the model will automatically generate capital gains. That is to say that next year’s price will be greater than last year’s by 5%, or the same as the stock’s growth rate (again, assuming a constant pay-out ratio). We often say that a stock is “ahead of itself,” if the rate of growth in price exceeds the dividend – or earnings – growth rate (assuming a constant pay-out ratio).
- https://biz.libretexts.org/Bookshelves/Finance/Introduction_to_Financial_Analysis_(Bigel)/03%3A_Part_III-_The_Time_Value_of_Money/11%3A_The_Time_Value_of_Money-_Annuities_Perpetuities_and_Mortgages/11.22%3A_Loans-_The_Conventional_MortgageWith most loans, interest is paid over the term, or life, of the loan, and the entire principal is paid in one fell swoop at the loan’s term, or maturity. Each year the annuity installment is first us...With most loans, interest is paid over the term, or life, of the loan, and the entire principal is paid in one fell swoop at the loan’s term, or maturity. Each year the annuity installment is first used to pay the interest on the loan and the balance is used to reduce the capital outstanding. In the maturity year the last annuity installment is sufficient to cover the interest still owed and the remaining balance. (You will note a rounded number in the last year.)
- https://biz.libretexts.org/Bookshelves/Finance/Introduction_to_Financial_Analysis_(Bigel)/03%3A_Part_III-_The_Time_Value_of_Money/11%3A_The_Time_Value_of_Money-_Annuities_Perpetuities_and_Mortgages/11.01%3A_Chapter_Eleven-_Learning_OutcomesLearning Outcomes In this chapter, you will: Derive the additive nature of Annuities. Calculate both Future- and Present-Value Annuity dollar values, using a simple calculator and Annuity Tables. Adju...Learning Outcomes In this chapter, you will: Derive the additive nature of Annuities. Calculate both Future- and Present-Value Annuity dollar values, using a simple calculator and Annuity Tables. Adjust Ordinary Annuity factors to Annuities Due. Relate the Law of Limits to Perpetuities. Provide the numerical analysis of No-Growth and Constant Growth Perpetuities, and Mortgages. Determine the total amount of interest paid on a mortgage over time in comparison to the principal originally borrowed.
- https://biz.libretexts.org/Bookshelves/Finance/Introduction_to_Financial_Analysis_(Bigel)/04%3A_Part_IV_Interest_Rates_Valuation_and_Return/12%3A_Fixed_Income_Valuation/12.03%3A_Valuation_PremiseThis says that in valuing an asset, we must first identify its future cash flows, and then discount each of those cash flows at an appropriate discount rate, and aggregate the figures into a sum, whic...This says that in valuing an asset, we must first identify its future cash flows, and then discount each of those cash flows at an appropriate discount rate, and aggregate the figures into a sum, which shall be the asset’s valuation or price. We will also find that, in a certain sense, the dollar value and the discount rate are interchangeable; in fact, we will note that the discount rate, in a large sense, is the “true” price of the asset.
