Thug Life - 7285 Words

Corporate Finance (Berk/DeMarzo) Chapter 9 - Valuing Stocks 9.1 Stock Prices, Returns, and the Investment Horizon 1) Which of the following statements is false? A) There are two potential sources of cash flows from owning a stock. B) An investor will be willing to pay a price today for a share of stock up to the point that this transaction has a zero NPV. C) An investor might generate cash by choosing to sell the shares at some future date. D) Because the cash flows from stock are known with certainty, we can discount them using the risk-free interest rate. Answer: D Explanation: A) B) C) D) Because these cash flows are risky, we cannot discount them using the risk-free interest rate. Diff: 1 Topic: 9.1 Stock Prices, Returns, and the†¦show more content†¦You expect Von Bora s stock price to be $25.00 at the end of two years. Von Bora s equity cost of capital is 10% 9) The price you would be willing to pay today for a share of Von Bora stock, if you plan to hold the stock for two years is closest to: A) $23.15 B) $20.65 C) $21.95 D) $21.90 Answer: A Div1 Div2 ï€ « P2 Explanation: A) 1.50 ï€ « 25.00 1.40 P0 = + = + = $23.17 1 ï€ « rE 1 ï€ « .10 (1 ï€ « rE )2 (1 ï€ « .10)2 B) C) D) Diff: 1 Topic: 9.1 Stock Prices, Returns, and the Investment Horizon S k i l l : A n a l y t i c a l 10) Suppose you plan to hold Von Bora stock for one year. The price would would expect to be able to sell a share of Von Bora stock in one year is closest to: A) $26.50 B) $22.70 C) $23.15 D) $24. Suppose you plan to hold Von Bora stock for only one year. Your capital gain from holding Von Bora stock for the first year is closest to: A) $0.95 B) $1.40 C) A) Capital Gain = P1 - P0 = 24.10 - 23.17 = $0.93 B) C) D) Diff: 2 Topic: 9.1 Stock Prices, Returns, and the Investment Horizon Skill: Analytical 12) Suppose you plan to hold Von Bora stock for only one year. Your capital gain rate from holding Von Bora stock for the first year is closest to: A) 3.5% B) 4.0% C) 6.0% D) 4.5% Answer: B Explanation: A) Div2 ï€ « P2 1.50 ï€ « 25.00 B) P1 = = = $24.10 1 (1 ï€ « .10) (1 ï€ « rE ) P0 = Div1 Div2 ï€ « P2 1.50 ï€ « 25.00 1.40 + = + = $23.17 2 1 ï€ « rE 1 ï€ « .10 (1 ï€ « rE ) (1 ï€ « .10)2 Capital Gain = P1 - P0 = 24.10 - 23.17 = $0.93 Capital Gain rate = capital gain/ P0 =Show MoreRelatedThug Life1618 Words   |  7 PagesMendelian Genetics in Drosophila Melanogaster: Fruit Fly Inheritance Results Total count for section amp; course data: Cross | Phenotype | Section 6 Total | Course Total | ap/ap x +/+ | wt | 211 | 2604 | | Apterous | 58 | 824 | | | | | | | | | X(w)X(w) x X(+)Y | wt females | 15 | 707 | | white females | 9 | 597 | | wt males | 13 | 633 | | White males | 13 | 614 | Totals | 760 | 11,754 | Table 1: Total counts for section and course data. Four crosses wereRead MoreGucci Mane: a Thug Life7811 Words   |  32 Pagesremembering do you feel most at ease?† (Soldner, 1997) â€Å"Did any parts of the passage confuse me? What did I do to clarify the confusion?† (Gourgey, 1997) Associative and Affective Personal Response â€Å"How does this poem make you feel? What in your own life might have influenced how you responded to the poem?† (Newton, 1991) At the Start of an Online Course ï‚ · ï‚ · ï‚ · ï‚ · What concerns do you have about the course? How do you plan to deal with your concerns? What are your chief strengths as a learnerRead MoreEssay on U Dont Need the thug life 880 Words   |  4 PagesI grew up listening to the gs in my hood talk about the gang life. Now all my life, on tv, in school, etc. i always heard the same thing, the thing u hear all throughout this school the gang life leads nowhere, ull regret it, dont start, and etc. but to hear a lot of the people in my neighborhood talk about the shit theyd done, and to see their tattoos, i always thought it was like the greatest thing. nbsp; I come from a broken home, i dont know my dad, and my mom is never around, iRead More Compare and Contrast 2Pac Saint John the Baptist Essay1150 Words   |  5 PagesSaint John the Baptist Although they lived in very different times, Tupac Shakur and Saint John the Baptist had many commonalities. Both became extremely famous for expressing what they believed. The medias portrayal of Tupac Shakur as a tattooed thug has focused public attention on his accused crimes instead of his music. This rapper, raised in Marin City, California, by a Black Panther mother, is more complex than his enemies like to admit. Shakur (who performs as 2Pac) was a talented lyricistRead MoreTupac: The Words of an Inspirational Lyricist Essay1238 Words   |  5 Pagesrecognize that there is life for them outside of the ghetto, poverty, drugs and other adversities. He speaks of poverty, teenage pregnancies, single parenting, self-esteem and an array of other problems that people living in the ghetto are faced with. Despite all of the negative associations with his name, Tupac has managed to capture the hearts, emotions and attention of many people because they relate to his life in some type of way. Someone listens to Shakur’s songs and hears their life story, while anotherRead MoreOur Changing Society865 Words   |  4 PagesThroughout the years our society has gotten considerably worse. Many factors in the modern day has had a part in the negativity in the world. Our music has become everything about drug life, sex life and thug life. Not only has music impacted our change, but the increase in violence has affected it. Violence can become an after effect due to what is on TV and cemented into our brains. People have lost all knowledge of common sense. The last factor that makes our society ugly is the rate in bullyingRead MoreMusic And Its Effect On Life1733 Words   |  7 Pagescombined in a way that produces beauty of form, harmony, and expression of emotion or some might say the art or skills of creating or performing a piece. A favorite song is probably your favorite because it is associated with an emotional event in your life (Music). Over the years, music has drastically altered and has become very different from what it used to be. There was once a purpose, but as time progressed, it is sad to say the importance or significance is basically gone. Music is said to haveRead MoreFirst Post, Here I Go !878 Words   |  4 PagesFirst Post, Here I Go! Did you ever wonder what your purpose in life is ? *This story is based on my own experience, and all the challenges I encountered that I believe have guided me in discovering my purpose in life. I hope you can find yours, since I m still pursuing mine. Difficult circumstances and fear have been the pinnacle of my existence over the past few years. Living under a cloud of oppression in the third world country of Bolivia devastated my family and necessitated that we seek asylumRead MoreThe Road - Cormac Mccarthy954 Words   |  4 Pagesleft--including yourself and one of your family members. In hopes of survival, what measures would you take? Would you go to the extreme by cannibalism or committing suicide? On the other hand, would you choose to be on an ethical route by grasping on life delicately? In the midst of the unflinching and empty world with virtually no hope, the father and son in the novel, The Road by Cormac McCarthy, choose to be the â€Å"good guys† by staying alive and refraining from cannibalism and thievery. They triedRead MorePersonal choices are very important in one’s life. The stories that will be compared are, â€Å"The Use1000 Words   |  4 Pageschoices are very important in one’s lif e. The stories that will be compared are, â€Å"The Use of Force†, by William Carlos Williams and â€Å"Lather and Nothing Else†, by Hernando Tellez. It is how the protagonists deal with a situation and how they use their intellectual thinking to deal with the situation. However, personal choices can change the outcome of a conflict, which will either be insightful or pessimistic. People make their own personal choices in everyday life. If the personal choices are not well-made