The Board is considering replacing or redeveloping the leading product you have chosen. This will require considerable new investment. a) Use TWO investment appraisal techniques to describe TWO alternative sources of finance that would support the board's strategy. b) Contrast the usefulness of the two investment appraisal techniques you have selected c) Analyse two international aspects of financial risk management that could impact on the board's strategy. d) Analyse and explain the cost involved in managing these two aspects.

Provide real-world example of an organization you are familiar with employing financial investment strategies with attention to mitigating risk

The managers in a firm have decided to move the company's headquarters from a rented space to a new building that the company will purchase. This is an example of Multiple Choice a cash flow decision. a capital budgeting decision. a net working capital decision. a capital structure decision. a short-term financing decision.

Understanding risks that affect projects and the impact of risk consideration WSP Inc. is involved in a wide range of unrelated projects. The company will pursue any project that it thinks will create value for its stockholders. Consequently, the risk level of the company's projects tends to vary a great deal from project to project. If WSP Inc. does not risk-adjust its discount rate for specific projects properly, which of the following is likely to occur over time? Check all that apply. The firm will increase in value. The firm could potentially reject projects that provide a higher rate of return than the company should require. The firm's overall risk level will increase. Generally, a positive correlation exists between a project's returns and the returns on the firm's other assets. If this correlation is stand-alone risk will be a good proxy for within-firm risk. Consider the case of another company. Turnkey Printing is evaluating two mutually exclusive projects. They both require…

The decision process Before making capital budgeting decisions, finance professionals often generate, review, analyze, select, and implement long-term investment proposals that meet firm-specific criteria and are consistent with the firm’s strategic goals. Companies often use several methods to evaluate the project’s cash flows and each of them has its benefits and disadvantages. Based on your understanding of the capital budgeting evaluation methods, which of the following conclusions about capital budgeting are valid? Check all that apply. The discounted payback period improves on the regular payback period by accounting for the time value of money.   Managers have been slow to adopt the IRR, because percentage returns are a harder concept for them to grasp.   For most firms, the reinvestment rate assumption in the NPV is more realistic than the assumption in the IRR.     True or False: Sophisticated firms use only the NPV method in capital budgeting decisions.…

8. Conclusions about capital budgeting The decision process Before making capital budgeting decisions, finance professionals often generate, review, analyze, select, and implement long-term investment proposals that meet firm-specific criteria and are consistent with the firm's strategic goals. Companies often use several methods to evaluate the project's cash flows and each of them has its benefits and disadvantages. Based on your understanding of the capital budgeting evaluation methods, which of the following conclusions about capital budgeting are valid? Check all that apply. The NPV shows how much value the company is creating for its shareholders. For most firms, the reinvestment rate assumption in the MIRR is more realistic than the assumption in the IRR. Managers have been slow to adopt the IRR, because percentage returns are a harder concept for them to grasp. is the single best method to use when making capital budgeting decisions.

In Hong Kong, Which of the following statement(s) is/are true? 1) Conputation and assessment of customer's cumulative asset concentration should be performed accurately and adequately. 2) customer's concentration assessment is not required for selling low risk investment fund. 3) customer's lisbilities should be taken into consideration. 4) the assessment of customer's concentration is performed during the investment account opening process. A. 1 and 2 B. 1 and 3 C. 2 and 3 D. all of the above

A financial services company is considering investing in a new fintech startup that has developed a new technology platform for investment management. The company is concerned about the risks associated with the investment and wants to evaluate the potential return on investment. You have been hired as a consultant to help the company make an informed decision. Which of the following financial ratios would be most appropriate for the financial services company to evaluate the financial health and performance of the fintech startup?    Gross profit margin    Debt-to-equity ratio    Return on investment (ROI)    Price-to-earnings (P/E) ratio

All of the following statements concerning a SWOT analysis are correct EXCEPT a. once the strengths, weaknesses, opportunities, and threats are identified, the planner systematically analyzes the SWOT to select the optimum financial strategy b. appropriate consumption and savings behaviors are examples of client strengths c. financial ratios that do not meet recommended levels are examples of client weaknesses d. technological breakthroughs, governmental controls, and emergence of new industries are examples of external environmental opportunities

A) Calculate the Return on Investment (ROI) for each of the portfolio. B) Based on the required rate of return, determine the Residual Income (RI)for each of the portfolio. C) If King Bhd is to choose only ONE (1) portfolio to invest in, advise the management team based of your answer in (a).   Please provide a calculation for each of them.