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Q: Which security would you predict to be more volatile in estimating cash flows?
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What are two reasons stockholders might be indifferent between owning stock of a firm with volatile cash flows and that of a firm with stable cash flows?

If the elimination of volatile cash flows through risk management techniques does not significantly change a firm's expected future cash flows and WACC, investors will be indifferent to holding a company with volatile cash flows versus a company with stable cash flows. Note that investors can reduce volatility themselves: (1) through portfolio diversification, or (2) through their own use of derivatives.


What is the simplest definition of ecological security?

It can be defined as followed. Safeguarding flows of resources.


The younger brother says Beneath a stone no water flows What does this reveal about his character?

adventure over security


What is arbitrage price?

Solve the following problem: Consider two securities that pay risk-free cash flows over the next two years and that have the current market prices show here: Security Price Today Cash Flow in One year Cash Flow in Two years B1 94 100 0 B2 85 0 100 a. What is the no-arbitrage price of a security that pays cash flows of $100 in one year and $100 in two years? b. What is the no-arbitrage prices of a security that pays cash flows of $100 in one year and $500 in two years? c. Suppose a security with cash flows of $50 in one year and $100 in two years is trading for a price of $130. What arbritrage opportunity is available?


What has the author B C Hilliard written?

B. C. Hilliard has written: 'Exchange flows and the gilt-edged security market'


How do scientists predict a flow of lava?

Scientists can often find clues about past eruptions by studying the deposits left behind. Areas affected by lava flows, debris flows, tephra, or pyroclastic flows can be mapped, making disaster planning more effective. In addition to this type of long-range forecasting, scientists are becoming more and more skilled at spotting the warning signs of an eruption.


What is Arbitrage pricing model?

Solve the following problem: Consider two securities that pay risk-free cash flows over the next two years and that have the current market prices show here: Security Price Today Cash Flow in One year Cash Flow in Two years B1 94 100 0 B2 85 0 100 a. What is the no-arbitrage price of a security that pays cash flows of $100 in one year and $100 in two years? b. What is the no-arbitrage prices of a security that pays cash flows of $100 in one year and $500 in two years? c. Suppose a security with cash flows of $50 in one year and $100 in two years is trading for a price of $130. What arbritrage opportunity is available?


Why is it important for a meteorologist to know about air pressure how does it help him or her forecast the weather?

Air always flows from high-pressure to low-pressure areas. This allows the meteorologist to predict wind direction and speed.


What did the atmosphere contain millions of years ago?

Depending on how far back, the atmosphere has changed. Around the cooling of the Earth, it would mostlikely contain large amounts of sulphur, methane and other volatile gases, coming straight from lava flows.


Does accrual accounting add the perceived value to the financial staements?

It does, because it actually give a more accurate portrayal of a firm's financial position than a cash basis by allowing you to more accurately predict future cash flows.


Why the statement of cash flows provides useful information that goes beyond income statement and balance sheet data?

statement of cash flows provides useful information that goes beyond income statement and balance sheet data because provides information to security analysts and stockholders


How does the ocean flows?

It Flows with the coriolis effect. It Flows with the coriolis effect.