"Investors and the Investment Process" Please respond to the following:
Answer: Top-down Investment policy- It is an investment policy from broader to narrow aspect.This strategy looks macro economic picture first. In this strategy, analysts first analyze the industry as it whole and then the company. Firstly industry analysis is done.
Factors affecting industry are-
Examples:
Top down approach provide benefits to investors. If investors analyse the industry thoroughly and factors affecting industry in which, they are going to invest, they can reduce their risk, Systematic risk is the market risk that cannot be reduced through diversification but it can be reduced if we know the current industry conditions. Investors can buy sector specific stocks if that particular sector is doing well and will do good in the future as well.
If Investor wants to invest into an oil company but current industry conditions are not favorable for oil companies due to higher price of crude then he will not invest into oil company right now.
Answer(2): Diversification- It is an art of minimizing risk by investing money into different asset class and mutual funds. It is said, "Do not put all your eggs in one basket". It means, an investor should not invest all his monies into one investment alternative rather he should invest into different alternatives such as; Stocks, fixed income securities, mutual funds, real estate, precious metals etc. He should diversify his portfolio by investing stocks of different sectors, if one sector or company is not doing well, other are doing well then portfolio will be balanced.
One should keep tracking his portfolio and should churn the portfolio, he should keep booking the profit and invest into other stocks.
"Investors and the Investment Process" Please respond to the following: Determine two ways in which a top-down...
International Opportunities" Please respond to the following: · Determine why, given the advantages of international diversification, some firms choose not to expand internationally. Provide specific examples to support your response. · As firms attempt to internationalize, they may be tempted to locate their facilities where business regulation laws are lax. Discuss the advantages and potential risks of such an approach, using specific examples to support your response.
"Investments Introduction" Please respond to the following: Propose three reforms to the investment markets that might reduce their exposure to the process called securitization. Support your proposals with examples. Determine two ways that capital allocational efficiency contributes to the well-being of an economy. Support your answers.
"Investment Strategy" Please respond to the following: From the e-Activity, evaluate at least two companies’ financial statements that have received a negative rating from one of the financial rating agencies. Determine which financial ratios most likely impacted the rating decision. Compare and contrast at least two financial ratios that support the rating agency's claims. Speculate on how the ratios are likely to change considering the economic environment in which it operates. Support your position. Imagine that you are a chief financial...
"Push-down Accounting and the Recording of Both Tangible Assets and Intangible Assets" Please respond to the following: Per the textbook, the FASB has not taken a position on the use of push-down accounting. Take a position on whether push-down accounting provides the most relevant information for both internal and external financial statement users. Provide support for your rationale. Compare the key differences between U.S. GAAP and IFRS’s position on both intangible research and development costs and tangible depreciable assets. Indicate...
"Interest Rates" Please respond to the following: Analyze the current position of the Federal Reserve Chairman and Board related to interest rates, money supply, and inflation, and the effectiveness related to these decisions. Predict the future of the economy based on this current strategy. Provide support for your prediction. Assess how investment decisions are influenced by expected future interest rate movements, indicating any confounding factors by investor habits and the resulting impact on the investment markets. Please provide one citation/reference...
"Medicaid" Please respond to the following: Examine at least two (2) eligibility requirements for Medicaid. Debate the extent to which you agree with the fairness of these requirements. Provide support for your rationale. Analyze two (2) changes to Medicaid resulting from the implementation of the Affordable Care Act. Determine the impact that these changes will have on both Medicare eligibility and your state government’s fiscal responsibility. Provide examples to illustrate the impact of such change.
"New Ventures and Opportunities" Please respond to the following: Identify three (3) reasons why individuals create new business ventures. Next discuss any goals or motives that would drive you to become an entrepreneur. Provide examples for your response. Discuss at least (3) fundamental drivers for establishing a new venture then share two (2) common sources that provide the ideas for these business opportunities. Be sure to support your response.
"Minimizing Audit Risk" Please respond to the following: According to your textbook, auditors have to make judgments concerning materiality on every audit. Since the auditing standards give no formal guidance for how to determine materiality, auditors must rely on their own experience. Determine at least three (3) qualitative factors that affect the auditor's judgment. Provide a rationale for your response. According to the textbook, auditors rely on the audit risk formula to determine the types and amount of audit evidence...
Please respond to the following two Questions and post here by the due date above. Also please post your comments on at least one other posting by your class mate in this from. Your comment must be your own critical view on the topic with valuable contribution. Q1. Distinguish between concept of Economic Growth and Economic Development as two separate studies of discipline in the context of developing nations. In your response, please make sure you give examples of country...
"Disease Control" Please respond to the following: Compare Tennessee public health agency to the U.S. Department of Health and Human Service (DHHS) in relation to each agency’s approach to disease management. Examine the role that each public health agency would play in the event of a disease outbreak. Provide two (2) examples to support your response. Analyze two to three (2-3) strategies that Tennessee public health agency would employ in response to a pandemic event. From modifications made to policies...