Why are providing liquidity and preserving principal the primary concerns in choosing short-term in-vestments? What guidelines should
Question:
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 63% (11 reviews)
Shortterm investments must be liquid so the company can cash them in easily when needed Pres...View the full answer
Answered By
Danish Sohail
My objective is to become most reliable expert for clients. For last 10 years I have been associated with the field of accounting and finance. My aim is to strive for best results and pay particular attention to client needs. I am always enthusiastic to help clients for issues and concerns related to business studies. I can work on analysis of the financial statements, calculate different ratios and analysis of ratios. I can critically evaluate stock prices based on the financial analysis and valuation for companies using financial statements of the business entity being valued with use of excel tools. I have expertise to provide effective and reliable help for projects in corporate finance, equity investments, financial accounting, cost accounting, financial planning, business plans, marketing plans, performance measurement, budgeting, economic research, risk assessment, risk management, derivatives, fixed income investments, taxation, auditing, and financial performance analysis.
4.80+
78+ Reviews
112+ Question Solved
Related Book For
Introduction to Corporate Finance
ISBN: 978-0324657937
2nd edition
Authors: Scott B. Smart, William L Megginson
Question Posted:
Students also viewed these Finance questions
-
What guidelines should be followed to make sure that recruitment advertising does not violate equal employment laws?
-
What issues should be included in a partnership agreement? Why?
-
What information should be included in a set of budgetary instructions?
-
In an attempt to prepare propylbenzene, a chemist alkylated benzene with 1-chloropropane and aluminum chloride. However, two isomeric hydrocarbons were obtained in a ratio of 2:1, the desired...
-
What is an interstate banking pact?
-
Describe the financial and management assistance programs offered by the SBA.
-
Repeat Problem 8.111 if the pipes are galvanized iron and the friction factors are not known a priori. Problem 8.111 Air, assumed incompressible, flows through the two pipes shown in Fig. P8.111....
-
How can Kevin contribute to both his companys successful implementation of the acquisition and to understanding mergers and acquisitions? Kevin found the discussion on insider action research in his...
-
ASE STUDY APPLICANT TESTING AT THE RCMP Applicants to the Royal Canadian Mounted Police (RCMP) must pass a written examination, an inter- view, and a physical ability test before being accepted for...
-
To support multiple virtual machines, two levels of memory virtualization are needed. Each virtual machine still controls the mapping of virtual address (VA) to physical address (PA), while the...
-
What are some of the recent developments in the accounts payable and disbursements area? What role does new technology play in fraud prevention in disbursements?
-
What securities are considered the benchmark for money market financial instruments, and why? What are some of the popular non- U. S. Treasury money market instruments?
-
A small manufacturer has won a major contract with the U.S. Army to develop a new generation of satellite phone for battlefield applications. Because of the significant technological challenges...
-
Some people are allergic to pollen. Do you think beepollinated plants or wind-pollinated plants are more likely to cause allergies? Why?
-
We know that birds stay in the air due to lift, an upward force produced by the difference in air pressure above and below the wings. This air-pressure difference is, in turn, the result of air...
-
When you buy fresh flowers, you should cut the stems underwater to prevent an air bubble from forming in the xylem. What would happen if an air bubble entered the xylem?
-
Birds have hollow bones, an adaptation for flight. How do hollow bones help birds fly?
-
Suppose a species of bacteria divides once every 20 minutes. You start with a single bacterium on your unrefrigerated egg-and-baloney sandwich at 8:00 am. Show that when you sit down to lunch at...
-
For each of the following lists of premises, derive the conclusion and supply the justification for it. There is only one possible answer for each problem.
-
2. In the circuit given in Figure 2, i,(t) = 5.67cos(5t)A and v (t) = 70.71 cos(5t 60) V a) Find the equivalent load impedance. State whether the load is inductive or capacitive. b) Calculate the...
-
Air at \(25^{\circ} \mathrm{C}\) flows normal to the axis of an infinitely long cylinder of \(1.0-\mathrm{m}\) radius. The cylinder is rotating at \(10 \mathrm{rad} / \mathrm{s}\), and the approach...
-
Johanson VI Advisors issued $1,000 par value bonds a few years ago with a coupon rate of 7 %, paid semiannually. After the bonds were issued, interest rates fell. Now with three years remaining...
-
You have gathered the following data on three bonds: a. If the market's required return on all three bonds is 6%, what are the market prices of the bonds (you can assume annual interest payments). b....
-
The rate of inflation is 5 % and the real interest rate is 3 %. What is the nominal interest rate?
-
If the nominal interest rate is 14%, and inflation is 4%, what is the real interest rate? 22.A bond investment yielded 8%. If inflation was 3%, what real return did the bond offer? 23.The following...
-
Bierce Corporation has two manufacturing departments--Machining and Finishing. The company used the following data at the beginning of the year to calculate predetermined overhead rates: Estimated...
-
Discuss how communication channels have changed over the years due to technology.
Study smarter with the SolutionInn App