Corporate Fin Mgt NDLM.PDF

sum, Shatabdi creditors should love the company, but its shareholders would prefer a far more aggressive financial policy. It is ...

In break-even analysis, we are interested in determining the level of sales at which the Profit before Tax (PBT) is zero. We wil ...

The contribution margin is perhaps the more important parameter as it measures the impact on profits of any change in sales. Sha ...

the value of DTL. It is simply the ratio between the Contribution and the PBT as shown below: DOL = Contribution = 37519 = 4.93 ...

investor who takes fundamental analysis seriously will find that the time that he spends with these notes is amply rewarded. We ...

Deferred Liabilities 19999 19999 Net Worth 23792 15834 Total Liabilities 57598 49640 The impact of both of the changes is to red ...

Some costs are of course really joint costs and not attributable to any division, but even the costs that are relatable to each ...

optimistic about the future so that their statement about excellent prospects for the next year must be taken with more than a p ...

Material for presentation by Group B: Modern Portfolio Theory (Source: Book on Portfolio Management by professors S.K.Barua, V.R ...

The Notion of Non-diversifiable or Market Risk while diversification does reduce risk, even a very highly diversified portfolio ...

is to know that s is a measure of risk which captures the intuitive notion of variability. The riskiness of share M as measured ...

source of risk in planet Delta – the weather – and it affected the two securities in exactly opposite directions. Such a situati ...

portfolio return not only depends on the variability of the security returns, but also on the correlation coefficient. The s of ...

Fig. 1 Gains from Diversification. TABLE 1 Portfolio Returns Proportion Invested Volatility (s) when Correlation Coefficient (?) ...

0.70 0.30 23.00 11.80 10.28 2.20 0.65 0.35 23.50 12.10 10.49 0.90 0.615 0.385 23085 12.31 10.66 0.00 0.60 0.40 24.00 12.40 10.74 ...

expected returns of the individual securities comprising the portfolio, the weights being the respective proportion of each secu ...

highly correlated. Clearly, increasing the number of securities from 30 to 100 does not necessarily improve the diversification ...

related questions need to be answered by a good portfolio manager. In this section we proceed to provide answers to such questio ...

Fig 3 the Efficient Frontier That any portfolio below the efficient frontier has a lower return than the portfolio on the effici ...

Fig. 4 The efficient Frontier Portfolio Choice with a Risk-free Security. In the above discussion of the efficient frontier, we ...