question archive Q#3: Assume that you are nearing graduation and that you have applied for a job with a local bank
Q#3: Assume that you are nearing graduation and that you have applied for a job with a local bank
Subject:FinancePrice: Bought3
Q#3: Assume that you are nearing graduation and that you have applied for a job with a local bank. as part of the bank`s evaluation process, you have been asked to take an examination that covers several financial analysis techniques. The first section of the test addresses discounted cash flow analysis. See how you would do by answering the following questions? Marks:06 What is the future value of an initial 100 after 3 years if it is invested in an account paying 10% annual interest? What is the Present value of 100 to be received in 3 year if the rate of interest is 10%. We some time need to find how long it will take a sum of money to grow to some specified amount .For example , if a company's sales are growing at a rate of 20% per year how long will it take sales to double. What is Annuity? What the difference between an ordinary annuity and an annuity due? What is the future value of a 3-year ordinary annuity of 100 if the appropriate interest rate is 10%? What is the present value of annuity? What would be future and present values be if the annuity were an annuity due? What is the future value of 100 after 5 year under 12% annual compounding? Semiannual, quarterly and monthly compounding? Construct an amortization schedule for 1000, 10% loan with 3 equal installments? What is annual interest expense for the borrower m and the annual interest income for the lender during year 2? Q#4 Answer the following Marks:02 External Vs Internal business environment Bond Vs Stock Limitation of financial statement analysis EVA Vs MVA
