Which of the following statements regarding ETF is incorrect? Select one: O a. ETFS are open-ended funds. O b. ETFS are mostly index funds and can be traded like shares on stock exchanges. Oc. ETFS replicate index funds through either physical or synthetic replication. O d. Authorised Participants and Market Makers have an arrangement with the issuers to create and redeem ETF units on a regular basis. O e. ETFS' price can be significantly different from the value of its underlying assets, similar to listed managed funds

Q: explain the direct allocation method.

A: The objective of this question is to understand the concept of the direct allocation method in…

Q: Make proper calculations with figures for finding NPV and IRR

A: Introduction:NPV is defined as the sum of the present values of all future cash inflows  less the…

Q: Show that the CAPM Bi is linearly additive. Present all your calculations analytically and explain…

A: In this question we will be discussing on the CAPM Bi is linearly additive

Q: Select a project on the basis of PPB and IRR with a mathematical example.

A: IRR Annual growth rate of growth that is estimated to be generated from an investment.

Q: Compare IRR with MIRR method

A: Internal Rate of Return (IRR) is the rate at which the present value of expected cash inflows is…

Q: Write two examples of SWOT analysis

A: 2. SWOT analysis for Sedibeng Breweries Strength: Capital stock: A strong capital base has been…

Q: Briefly explain the usefulness of a sensitivity graph

A: A sensitivity graph depicts all the assumption results on the final outcome in the exercise of…

Q: Set out and explain the function of the p/e ratio

A: P/E ratio is a vital valuation ratio used in relative valuation methods. The function of pe ratio…

Q: Please work out manually the Covariance with MP.

A: Co-variance   between X and Y means joint deviation of X around X and Y around Y. Formula for…

Q: Give an example of each.

A: Cost standard example: The estimation to regulate the entire direct material cost standard and…

Q: Illustrates how you may obtain the true IRR by using the Goal Seek function?

A: IRR refers to the rate of return at which the net present value of a project is zero. This is the…

Q: Describe the three groups of units that must be accounted for when using the FIFO method.

A:

Q: Define Factoring.

A: Accounts Receivable: It refers to the amount of money due to the company from the debtors.

Q: Describe the Scatterplot Method

A: The objective of the question is to understand the Scatterplot method, which is a graphical…

Q: Modigliani and Miller's Method - discuss briefly

A: Modigliani-Miller Theorem: It represents one of the most significant theorems in the field of…

Q: Describe the revaluation model.

A: Introduction: The revaluation model stretches a business the option of carrying a fixed asset at its…

Q: Explain the periodicity assumption.

A: Definition:   Generally Accepted Accounting Principles (GAAP): These are the guidelines necessary to…

Q: Explain the put call parity model. What are the advatages and disavantages of it?

A: Put-call parity characterizes the connection between calls, puts and the underlying assest price or…

Q: Define the term Time-based methods.

A: Allocation method: It is a method in which allocation base is expected to be consumed during the…

Q: What are two advantages of ADR? List and provide an example for each.

A: ADR refers to the American Depositary Receipt. ADR is a negotiable certificate which represents a…

Q: Explain when to use the single-period model and when to use a multi-period model.

A: The difference between the two models is that the multi-period model may involve the stock leftovers…

Q: IRR analysis is based on the

A: IRR (internal rate of return) is one of the capital budgeting techniques that is used in order to…

Q: Draw a figure to explain Elements of required return - establishing a MARR?

A: The figure is represented as below: Note: Values assumed

Q: Define split-off point.

A: Contribution approach: The contribution approach calculates the net profit by calculating the…

Q: based on the above exercice - On the basis of the data provided at question 6, calculate your…

A: Levered IRR is the Internal Rate of return calculated on the basis of levered free after tax cash…

Q: Describe the process of calculating NPV.

A: Net Present Value (NPV) is a capital budgeting technique which uses a discount rate to bring all the…

Q: Can u please give the vertical analysis for this and interpret the results.

A: Vertical Analysis - Vertical Analysis is the method of analysis of financial statement of the…

Q: List and describe the components of a SWOT analysis.

A: When an organization aims to study and understand the environment in which it operates, it performs…

Q: Can you please provide me some examples or practice problems to calculate allocation rate?

A: Activity based costing (ABC) is the modern method for the classification of various expenses to…

Q: Define the term dual rate method.

A: Dual-rate method refers to the method of assigning costs that uses two cost functions.

Q: Please explain when you would use the following equation and also explain what each variable…

A: Annuity is number of payments which are equal in size and made in equal interval of time.