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Read carefully. Read the case below and provide the necessary solution where you deem fit. Apparently, mangers fear of losing their jobs in the event
Read carefully. Read the case below and provide the necessary solution where you deem fit. Apparently, mangers fear of losing their jobs in the event that, shareholders wealth maximization is barely achieved. In addition to this are many reasons that may call for frictions between mangers and shareholders; identify in broad terms, why there exist such frictions. On the score of raising funds for use, financial managers prefer money now and not in the future; what is your understanding and why is money preferred now and not in the future? Finance is understood to be the application of economic principles; do you agree? and what are the types of finance you know. With the advent of the famous Domestic Debt Exchange Programme DDEP investors have been so worried and still wondering what will happen to their investment. Judging from the numerous calls on government to see to the plight of these investors, government decided to increase growth of dividend to Meanwhile, dividend declared was GH per share and cost of equity increased to This seems good news and a welcoming one for equity investors. However, what then is the share price if the total shareholding stands at What will the share price be if dividend is deemed to be constant? Financial literature reveals that ratios are good in measuring financial performance of corporate bodies; explain ratio analysis and show why it is important. Identify and explain the basis on which financial performance of a firm is judged. List the processes involved in capital budgeting. As a financial management student with knowledge in finance, explain why there must be a balance among the three financial decisions of a corporate entity. Even in the face of financial meltdown, organisations still think about investment. One of such is the investment into copier machines. Your superior is in a fix as to whether the said copier she wants to buy would be profitable or not? Assuming the following information is true;Initial cost GH Cash inflow GH No of years andCost of project What will be your advice to your superior? Continue with the investment or decline?
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