Finance

In the equities market, there are about three prominent structures, namely open outcry, Electronic Communication Networks, and NASDAQ stock market. As the name suggests, the open outcry structure means that professionals in this market engage in open outcry as a means of communication in their process of trading. These professionals shout and use their hands to indicate their interest in the equities presented to the market. The electronic communication network (ECN), refers to a kind of computerized...

PRINCIPLE International trade has facilitated the process of globalization. As a result the concept of the global village has been realized. Advances in technology have also furthered the process of globalization through the expansion of the scope of the international trade.   PRACTICE The process of the international trade making the world smaller is an accepted convention. The scope of the international trade has also been expanded through advances in the Internet technology. Advances...

Abstract Strategy has been a constant topic of discussion for managers and business owners today. Nevertheless, many people still have the wrong idea on what constitutes as a strategy. For example, if a manager stated that their corporate strategy is to be the best in the business, or to foster continuous growth, than heshe has definitely the wrong idea about strategy. Strategy is not about reaching corporate goals rather it is bout the unique way we intend to achieve that goal with. Managers and...

American dollar has been used as the world reserve currency for the better part of the century, where 70 percent of all currencies are reserved in form of dollars. This has contributed to the supremacy of the dollar in world trade and finances. The fact that oil which is of the most traded commodity in the world is only traded in dollars, most countries prefer dollars as their foreign currency reserve (Craig, Humpagee, 2007). The influence of the dollar could deteriorate if Irans proposal to price...

1. The financial management in any corporation or business involves management of money in terms of its value to increase its worth in future (Shim and Siegel, 2000). The concept of money management involves certain uncertainties when planning process is involved and therefore, it is important for financial managers to incorporate the future uncertainties and weakness in value of money. This concept of incorporating the depreciating value of money with todays value is called time value of money...

Allgood has been keen to join an entrepreneurial firm and increase her stock of wealth. She envisages a situation where she can buy into a start up firm and make millions when the firm lists on the stock exchange. Her current obligations leave her financially strapped at a time when she needs to save more in anticipation of future expenses related to the unborn child. Garibaldi is very impressed and appears determined to hire her at all costs. His record of accomplishment reveals that anybody working...

Agency problem is a conflict which occurs when an agent, whose obligation is to manage the interests of the principal, misuses the authority given to him and directs the benefits to himself. Also referred to as principal-agency problem, this dilemma exists in many organizations like in a business, club, church, or in government. In finance, agency problem may occur when directors of a public company differ with shareholders on the prudent ways of investing the firms assets (Walker, 1997). Parties...

The common size financial statements indicate the inherent characteristics of the firms and the industry where they belong. Likewise, the comparative data illustrates historical developments of certain firms which created specific impact on the presented financial highlights a compared with companies that did have similar or unique histories. In terms of liquid assets, the health, computer and the books and music sectors dominate considering their high demand and turnover of business conducted...

Ms. Synthasia Electronics (the company) has approached the Bank for a credit line of AED 20 Million as part of its capital restructuring program. A detailed financial analysis of the company, however, reveals that the companys performance over the last year has been dismal with falling profitability levels, high fixed asset growth not being complimented with appropriate growth in profitability (0ver capitalization), rising receivables, inventory buildup and over dependence on supplier credit for...

A financial market is one that allows sellers and buyers to buy and sell financial instruments such as stocks and bonds, and commodities which help businesses grow and make money. A corporation is a form of an organization which is separate from its owners and has limited liability and the shares of the corporation can be easily transferred and the status of the business does not change with the death of any shareholder. The purpose of financial markets is to allocate resources in the most efficient...

In 2001, President Bush implemented the Economic Growth and Tax Relief Reconciliation Act or EGTRRA, which is considered to be a very substantial modification of the states tax policy (Auerbach, 2002). In essence, the tax cuts imply reductions on tax payments for all people, yet the changes introduced are not necessary uniform for all tax payers. Some argue that the tax cut policy is unfair in relation to the high-income stratum, because they end up paying the huge percentage of income tax collections...

Business Ethics Emphasis Although there are other great centres of finance in the world, when viewed from a truly analytical and comparative point of view, there is no place in the world that offers the same academic and professional opportunities as Hong Kong.  This is because Hong Kong is a truly international centre of finance with all of its complexities and debates, because it is where the East and the West meet in terms of competing financial visions and policy paradigms, and because...