describe the use of fi nancial statement analysis in screening for potential equityinvestments;

Q: Describe stakeholder orientation at REI.

A: Introduction: A stakeholder is a person that has an interest in a company and has the ability to…

Q: Describe the difference between business risk and financial risk using appropriate example

A: Business risk refers to the potential for a company to experience a loss or lower profits due to…

Q: Which are the assumptions will be added as we discuss the various approaches to the valuation of the…

A: REIT stands for a real estate investment property. The investment is treated as investment in stocks…

Q: computing cost of equity.

A: Equity is the amount of capital invested or owned by the owner of a company. The equity is evaluated…

Q: Explain in detail, using examples where possible, the difference between hedging, speculation

A: In the world of finance and investments hedging and speculation are important concepts. Many…

Q: what is the Social-ethic audit?

A: The social work ethics audit is a method for social workers to evaluate ethical questions in a…

Q: Define Equity method.

A: Equity Method:   Equity method is a accounting method used for inter corporate  investments. when…

Q: demonstrate the application of DuPont analysis of return on equity, and calculate and interpret eff…

A: In DuPont analysis,  return on equity ( ROE) is decomposed using various methods. Some of the…

Q: Summarize the basic procedure of Net-Present-Worth Criterion?

A: Step 1: Initially ascertain the initial investment of the initial outlay amount (CF0). The initial…

Q: lain the relationship between return on equity (ROE), return on asset (ROA), and leverage effect.…

A: Return on equity and return on assets shows how much is the profit earned by the company and are…

Q: Define the term investing activities.

A: Investing activites refer to activities of a company which involves investment related activities…

Q: Tranquility, Inc. has common shares with a price of $18.37 per share. The firm paid a dividend of…

A: We can use the Gordon Growth Model (GGM) to solve this problem. The Gordon Growth Model, also known…

Q: which of the following headings best describes and measures gearing : a- financial position (risk)…

A: Gearing ratio is a financial ratio which compares equity of a company to its debt. Gearing ratio =…

Q: Define investing activities.

A: Statement of cash flows: This statement reports all the cash transactions which are responsible for…

Q: Differentiate between forecast and projection in relation to prospective financial information

A: Referred to as PFI, the Prospective Financial Information explains that the financial information…

Q: What information would be required to compute the risk-asset ratio under Basle I?

A: The risk asset ratio (RAR) measures the amount of a bank's total regulatory capital in relation to…

Q: Determine whether an investment is visible, which factors should be considered?

A: In terms of finance, the term feasibility of a project means to check if the project is economically…

Q: Which of the following elements of fi nancial statements is most closely related to measurement of…

A: Accounting: Accounting is a system, or a process of collecting and organizing economic transactions,…

Q: Describe relationship between risk and profitability.

A: Risk and profitability have direct relation. Lower the risk, lower is the return and Higher the…

Q: What examples can be used for the client on the advantages of the accrual method?

A: Accrual basis accounting recognizes business revenue and matching expenses when they are…

Q: How can fi nancial statement analysis be used to evaluate the credit quality of a potentialfi…

A: Whenever, an investor is considering an investment proposal, he need to analyze the various things…

Q: Contrast term stockholder and stakeholders ?

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: describe the roles of fi nancial reporting and fi nancial statement analysis;

A: Financial reporting means representing records maintained by an organization in the form of…

Q: Define the following terms: Input risks, financial risks, property risks, personal risks

A: Input risks refers to the input price risk or commodity price risk. The risk arises for either of…

Q: . risk B. risk management C.hed

A: Step 1   The process of detecting, analyzing, and managing corporate finances and profits is known…

Q: A situation in which one focuses on individual decisions rather than looking at them in the context…

A: A situation in which focus is on the individual decision , rather than  focusing on the big picture…

Q: describe the role of fi nancial statement analysis in assessing the credit quality of a…

A: Financial Statement Analysis involves the following in a broader nature: Balance Sheet Income…

Q: HOW TO KNOW THE RATIO OFCAPITAL INVESTMENT?

A: Ratio of capital investment is the ratio of net operating profit to total capital investment.

Q: Explain in detail the Investment decision, Financing decision and divdend decision.

A: Investment decisions involve choosing where to allocate a company's capital to generate future…

Q: B. Identify the types of investment vehicles and types of investors

A: The investment refers to the commitment of funds in the expectations of some returns. To accelerate…

Q: Which of the followings is not one of the components of ROE under the Du Pont analysis/identity?…

A: The ROE ratio determines the return on equity. The Du Pont analysis helps the company to analyze the…

Q: Distinguish amongoperating, investing,and financing activities

A: The liquidity position of a company shows its ability to pay short-term financial obligations. It…