Write a one-page about the stock market, the good and bad side of it.
The Korean stock market this year can be extremely bad, bad, good, or extremely good. The following table shows the probabilities and the stock returns corresponding to the four states of the market. What is the expected return of KOSPI this year? Extremely Bad Bad Good Extremely good Probability .05 0.35 .45 .15 KOSPI -20% -4% 12% 30% 1) 5.5% 2) 6.5% 3) 7.5% 4) 8.5% 5) 9.5%
Gold mark assignment write two page about... iii. Stock Market performance, Observation & critical analysis
One example of good design and why you think it is good design and one example of bad design and why you think it is bad design (minimum length: one side of the page; maximum length: both sides of the page)
If one side of the market, either the buyer or seller of a good or service has better information than the other side, there is moral hazard. asymmetric information. an external cost. a free-rider problem.
"Market conditions could be either good or bad. If conditions are good, market return is 14% and firm Hoopla's return is 12%. If conditions are bad, market return is 2% and Hoopla's return is 4%. What is Hoopla's beta?" O 0.33 O 0.5 01.25 O None of the Above
Suppose a credit market with a good borrowers and 1-a bad borrowers. The good borrowers are all identical, and always repay their loans. Bad borrowers never repay their loans. Banks issue deposits that pay a real interest rate r1, and make loans to borrowers. Banks cannot tell the difference between a good borrower and a bad one. Each borrower has collateral, which is an asset that is worth a units of future consumption goods in the future period. (a) determine...
On January 2, 2018, All Good Company purchased 7,000 shares of the stock of Big Bad Company, and DID obtain significant influence. The investment is intended as a long-term investment. The stock was purchased for $15 per share, and represents a 30% ownership stake. Big Bad Company made $300,000 of net income in 2018, and paid dividends to All Good Company of $35,000 on December 15, 2018. Big Bad Company's stock was trading on the open market for $18 per share at the...
On January 2, 2018, All Good Company purchased 5,000 shares of the stock of Big Bad Company, and DID obtain significant influence. The investment is intended as a long-term investment. The stock was purchased for $13 per share, and represents a 30% ownership stake. Big Bad Company made $350,000 of net income in 2018, and paid dividends to All Good Company of $35,000 on December 15, 2018. Big Bad Company's stock was trading on the open market for $14 per...
On January 2, 2019, All Good Company purchased 7,000 shares of the stock of Big Bad Company, and DID NOT obtain significant influence. The investment is intended as a long-term investment. The stock was purchased for $11 per share, and represents a 10% ownership stake. Big Bad Company made $375,000 of net income in 2019, and paid dividends to All Good Company of $7,500 on December 15, 2019. On December 31, 2019, Big Bad Company's stock was trading on the open market for...
On January 2, 2019, All Good Company purchased 9,000 shares of the stock of Big Bad Company, and DID NOT obtain significant influence. The investment is intended as a long-term investment. The stock was purchased for $17 per share, and represents a 10% ownership stake. Big Bad Company made $475,000 of net income in 2019, and paid dividends to All Good Company of $10,000 on December 15, 2019. On December 31, 2019, Big Bad Company's stock was trading on the...