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Author Archives: efficientminds
How Fine Print on Your Bills Helps Big Companies in Taking More of Your Money | PBS NewsHour | Nov. 28, 2012 | PBS
Sample MBA220 Case #2
In looking over the reports of last semester I found none were perfect. All could have been improved greatly. Given that, here are some disclaimers before I attach a sample…
Disclaimers:
- I can not tell you what grade this report received nor can I tell you my opinion of the report.
- The comments or lack thereof are no indication of the level of scrutiny to be applied to this semester’s submissions.
- This report is a sample and is in no way representative of a suggested, desired, excellent, or perfect submission.
- This report is provided for informative purposes only.
- This report is not a target you should shoot for.
- You should strive to make your report much better than the sample provided here to achieve a reasonable grade.
Now, here is the report: Sample_case_2.
Bear in mind the law of unintended consequences: You asked for a sample. Now I expect your submissions to be significantly better than the sample.
Cost of equity (Rs) over the last 19 years by sector
Notes:
- Data are obtained from CompuStat Research insight
- Returns include dividend reinvestment
- Each year a market-value weighted return by sector is computed then the arithmetic mean over the entire sample is computed.
- Something looks fishy with Energy and InfoTech. I need to investigate the presence of any outliers.
- Update: regarding InfoTech, the dot-com run up prior to 2000 appears to be the reason for the high cross-sectional average Rs of 16.27%.
- Stay tuned for similar graphs using median instead of weighted mean calculations.
- The median P/E firm in each sector can be more representative of the “typical” firm than a value-weighted average (Goedhart, et al. 2002).
MIRR example
Decision tree example
In HP-Autonomy debacle, many advisers but little good advice
With Autonomy, H-P Bought An Old-Fashioned Accounting Scandal. Here’s How It Worked. – Forbes
How can such a large reputable company like HP, with all of their intelligent employees, and “top talent” management make such a huge ($8.8 billion) mistake?
This is more evidence of the Ponzi scheme and casino like aspects of the stock market.
3 Reasons to Fade a Fiscal Cliff Freak-out | The Exchange – Yahoo! Finance
Another free food opportunity: FEI dinner November 27
The next Financial Executives International (FEI) dinner meeting is November 27th at 6:30 pm. The topic shall be “Sacramento County Airport Systems.” For more information click here. If you are nearing graduation this is an excellent opportunity to be in a room full of CFOs. You should be able to plant seeds of potential employment while you are there. That is in addition to the free food and knowledge transfer from the presenters.
As before, two students can attend for free. I shall attend this meeting. Last month the food, wine, and discussion were all very good. If you are interested please send one or two paragraphs explaining why you are interested in attending this month’s meeting. Please send your application to djmphd@gmail.com by Friday November 16. This will enable me to make the selection and forward the names to the dinner coordinator.
So, take a look at the meeting info, write a paragraph or two on why you would like to attend, and then email it to me as soon as possible.
-David J. Moore