Let’s Discuss: “TVM Time Value of Money”

What is the relationship between Present Value and Future Value?

What are the calculations involved with PV and FV?

How can you apply these concepts to a personal or business situation you are familiar with – please explain and support with terms and concepts from this class material?

M5D1: Bond and Stock Valuation

You should be able to explain and support your reactions to the following questions:

What is the relationship between Bonds and interest rates?

What are the calculations involved with pricing a bond and a stock?

Choose a stock that is publicly traded and explain how you think the future potential of the stock warrants the price it sells at today – please explain and support with terms and concepts from this class material?

Calculate the current return on a stock of your choice and compare it to returns on bonds. Which is better to invest in presently a stock or a bond in this company and why?

M7D1: Cost of capital and Risk Evaluation

Explain the basic types of financial management decisions and the role of the financial manager in obtaining capital for investment in the company.

Let’s Discuss: Cost of capital and Risk Evaluation

You should be able to explain and support your reactions to the following questions:

How do we define and measure risks in financial projects?

What are examples of uses for sensitivity analysis and what-if scenarios? Any examples from your work experience or research?

How do we define fixed and variable costs?

Give examples of the different types of costs in various applications from your experience or research.