Search your text and at least one article found through ProQuest on the topic of restrictions on termination of employment in European countries. Assess the different requirements and consider risks, operational requirements for MNCs, modified HRM policies, and any other conditions or restrictions facing a firm operating in such environments. Present your views in 200 words or more in your discussion post. Respond to at least 3 of your classmates’ postings. Remember to properly cite your sources.
Directions: Answer the following questions on a separate document. Explain how you reached the answer or show your work if a mathematical calculation is needed, or both.
Describe an economic trade off faced by the Fed in achieving its economic policy objectives. What are recognition and implementation lags? How do these influence security prices? Why might the Fed’s monetary policy depend on the fiscal policy that is implemented? Stock market conditions serve as a leading economic indicator. Assuming the U.S. economy is in an expansion. what are the implications of this indicator? Why might this indicator be inaccurate? Assess the economic situation today. Is the current administration more concerned with reducing unemployment or inflation? Does the Fed have a similar opinion? If not, is the administration publicly criticizing the Fed? Is the Fed publicly criticizing the administration? Explain. What type of organization issues commercial paper? Given the short-term nature of commercial paper, why would ratings agencies assign ratings to them? The maximum maturity of commercial paper is 270 days. Why would an organization issue commercial paper rather than longer-term securities, even if it needs funds for a long period of time? Assume an investor purchased a three-month T-bill with a $10,000 par value for $9,500 and sold it 45 days later for $9,600. What is the yield? A money market security that has a par value of $10,000 sells for $8,924.70. Given that the security has a maturity of two years, what is the investor’s required rate of return? A U.S. investor obtains British pounds when the pound is worth $1.30 and invests in a one-year money market security that provides a yield of 4 percent (in pounds). At the end of one year, the investor converts the proceeds from the investment back to dollars at the prevailing spot rate of $1.32 per pound. Calculate the effective yield.
· All papers must be in Times Roman 12, one-sided and pages numbered, 4 pages, doubled spaced.
· In terms of format, you must
· Consult the APA Style Manual or the Chicago Manual of Style in preparing your group project paper.
· A list of references and in-text citations and/or footnotes should be incorporated in the group project paper.
I. Introduction to the TopicA
III. Statement of the Challenges, Problems or Opportunities
You will only need to do the Background/Overview portion and its references.
The purpose of this assignment is to allow the student an opportunity to calculate the rate of return of equity and debt instruments. It allows the student to understand the effects of dividends; capital gains; inflation rates; and how the nominal rate of return affects valuation and pricing. The assignment also allows the student to apply concepts related to CAPM, WACC, and Flotation Costs to understand the influence of debt and equity on the company’s capital structure. Assignment Steps
Calculate the following problems and provide an overall summary of how companies make financial decisions in no more than 500 words, based on your answers: Stock Valuation: A stock has an initial price of $100 per share, paid a dividend of $2.00 per share during the year, and had an ending share price of $125. Compute the percentage total return, capital gains yield, and dividend yield. Total Return: You bought a share of 4% preferred stock for $100 last year. The market price for your stock is now $120. What was your total return for last year? CAPM: A stock has a beta of 1.20, the expected market rate of return is 12%, and a risk-free rate of 5 percent. What is the expected rate of return of the stock? WACC: The Corporation has a targeted capital structure of 80% common stock and 20% debt. The cost of equity is 12% and the cost of debt is 7%. The tax rate is 30%. What is the company’s weighted average cost of capital (WACC)? Flotation Costs: Medina Corp. has a debt-equity ratio of .75. The company is considering a new plant that will cost $125 million to build. When the company issues new equity, it incurs a flotation cost of 10%. The flotation cost on new debt is 4%. What is the initial cost of the plant if the company raises all equity externally?
Must have show all calculations