Describe two important questions that financial managers must address before making an investment decision
Q: in your own words please discuss the following statement.in investment decision making process,an…
A: An investment decision making process comprises of various steps that are followed by an investor…
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Q: Identify two important variables to be considered when making an investment decision.
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A: Relationship Between Net present Value and Internal rate of Return
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A: Diversification is a methodology in which risk of the portfolio is reduced by distributing…
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A: The business finance sources which are available to businesses are working capital loans, retained…
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A: A company or a firm works with the combined efforts of all the departments of a firm. The different…
Q: llustration on the importance of the role of Investment Ba
A: Step 1 An investment bank is part of a bank or financial institution that provides subcontracting…
Q: A Report a Problem Revisit Choose the best option The procedure of evaluating an investors current…
A: Answer: The procedure of evaluating investors current and future financial status using the existing…
Q: Explain how you would evaluate the expected rate of return from the investment (purchasing a…
A: Investment decisions are concerned with the most efficient use of funds in order to maximize the…
Q: Demonstrate the link between net present value and internal rate of return and how they may be used…
A: According to the question, the relationship between net present value and internal rate of return
Q: Describe its significance along with the characteristics that determine the quality of a market?
A: A financial market is a market where people buy or sell financial securities at a low transaction…
Q: 1.a) What are the issues that a finance manager considers in taking investment decision? www
A: While making investment decisions a finance managers looks at the budget , profitability of the…
Q: explain the concepts of time value of money and its importance for investment decisions
A: The time value of money (TVM) is the idea that cash now values more than the same amount in the…
Q: After deciding the financial requirement, the finance manager should concentrate on
A: Financial decisions is a function of the finance manager where they identify the financial needs of…
Q: An investment group is looking to invest some money into a company. Where should the investment…
A: Before making investment decisions it is necessary to analyse the company's performance and its…
Q: s risk considered the main consideration in any investment decision? How will you deal with risk in…
A: Risk is very important factor in investment because the rate of return depends on the risk involved…
Q: Which statement is not correct? A. The main objective (role) of financial intermediaries is to…
A: Answer: Option C is the correct answer. Because "Financial intermediaries did not absorb the risks".
Q: tinguishes investment management from financial managemen
A: Step 1 In any organization, financial management is a critical function. It is the process of…
Q: Define investing activities.
A: Statement of cash flows: This statement reports all the cash transactions which are responsible for…
Q: What is the main goal of the financial manager? How does the risk return trade-off relate to the…
A: For a given level of risk, there is a level of return. When the return from an investment rises,…
Q: Explain why Risk Management is an important role of a finance manager
A: Risk Management: Risk management involves identifying, analyzing, and responding to risk factors…
Q: How would you describe the services provided by the investment advisory firms and portfolio…
A: Investment advisory firms and portfolio management companies are the important parts of investment…
Q: Which one of these statements is correct? Accountants record sales and expenses after the related…
A: Evaluation of Investment: there are some methods of capital budgeting to evaluate the investment in…
Q: As part of his duties, if a finance manager of a company is working on the appropriate source of…
A: Financial management is the practice of collecting and managing cash flows. Cash management is vital…
Q: Which of the following best explains the role of diversification as part of an investment strategy?…
A: Diversification refers to the investment strategy that can be used by an investors so that they can…
Q: What should do as early as now, can develop the qualities of a financial advisory?
A: Introduction Financial Advisor You must do more than handle money to be a great financial advisor.…
Q: How judgement is important when it comes to choosing the investments to invest in?
A: Capital investment is an irreversible process which makes it important to accept any investment or…
Q: Match the qualitative characteristics below with the following statements. 1. Relevance 2.…
A: Financial reporting: Financial reporting is the procedure used to communicate the information…
Q: Nature of investment markets, the Primary and secondary investment markets. Also brief discussion on…
A: 1. Answer: Primary and secondary investment market: The primary market is where securities are…
Q: example
A: There are many organisation who employing an financial investment strategies to mitigate risk
Q: Which of the followings is NOT in the scope of investment planning? a. To develop a risk-free…
A: Financial planning is a term that refers to estimating a company's funding needs and determining how…
Q: Discuss the overall purpose people have for investing.
A: Long term investments are the investment or assets that are beneficial for the firm for a number of…
Q: Discuss the significance of non-financial data in assessing the success of investment centers
A: Information that isn't financial : Non-financial data refers to features of a firm that cannot be…
Q: which of the following best describes the underlying rationale for a written investment policy…
A: Investment policy statement is a document which shows all details about the investments like in…
Q: After deciding the financial requirement, the finance manager should concentrate on…
A: After the financial manager has decided upon the financial requirement of the firm and its projects…
Q: Mention the activates in finance and accounting that are important strategy implementation?
A: The operations or conducts relating to Finance and Accounting in any corporate entity or corporation…
Q: How can the financial statements provide the basis for future investment analysis?
A: Answer: Financial reports are structured accounts quantifying a firm’s financial power, efficiency,…
Q: describe the stages in the financial process and discuss the advantages of a process driving…
A: Financial Process: The term "financial processes" refers to the procedures and techniques that the…
Q: financial factors that the firm should consider in the decision making process?
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Q: Why and how investors use environmental, social and governance (ESG) information in investment…
A: Introductions : In simple words, Environmental, social, and governance (ESG) methodology is a…
Q: Which of the following is not a function of Financial Manager? a. Investment Decision b. None of…
A: The financial manager refers to the person who is responsible for the financial affairs of the…
Q: Briefly discuss CAPM from the standpoint of investors and managers.
A: The Capital Asset Pricing Model (CAPM) is the financial model which shows the relationship between…
Q: Before investing, what are the factors you should take into considerations in order that your…
A: There are various factors that shall be taken into consideration which making investment decisions…
Q: You are interested in investing in an equity fund. Which step of the investment management process…
A: Investment management style is a style or a way an investment manager manages his portfolio of…
Describe two important questions that
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- Identify two important variables to be considered when making an investment decision.Why should a client provide their investment manager with an investment policy statement? Be specific.A financial manager needs to make decisions regarding the investments that acompany needs to make and when. List five types of key investment decisions afinancial manager needs to make.
- Your client is evaluating the upside and downside of a potential investment. What stage of the Financial Planning process is this? O Routine Allocation O Indemnification O AssessmentIn pursuing one’s investment objective, which is specified in terms of return requirement and risk tolerance, one should bear in mind the constraints arising in the investment process. What could be these investment constraints? Describe with examples.Critically evaluate the behavioral factors influencing investment decision-making