StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...

Develop finance - Assignment Example

Comments (0) Cite this document
Summary
Introduction The paper tries to address the financial concepts with due emphasis on various models which provides the basic and limitations of the models. Section A Question 1: a) Define financial repression. Answer: The government often involves itself in channelizing the funds towards themselves which in the deregulated market can flow in other sectors…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER96.9% of users find it useful
Develop finance
Read TextPreview

Extract of sample "Develop finance"

Download file to see previous pages b) On what basis do McKinnon and Shaw argue for financial liberalisation? Answer: McKinnon and Shaw were of the opinion that ceilings in interest rates, requirements of high reserve and restriction on allocation of credit can be accounted for the poor performance of investment mechanism. The work of the researchers is based on the role of the liberalized rates of interest on mobilization of savings as well as distribution of funds to investments that are high in earning. They indicated the role of the financial sector in order to increase the volume of savings. c) What imperfections in financial markets were disregarded by the McKinnon-Shaw style models and with what result? Answer: The hypothesis of Shaw and McKinnon is of the opinion that savings can be chocked by financial repression. They opined that only financial liberalization can lead to higher savings as well as investment which are the step to achieve accelerated growth. The hypothesis has failed to settle the debates on financial liberalization. The process of financial liberalization is not at all smooth and continuous. Exogenous shocks can be held responsible for liberalization reversals in the developing countries. It is difficult to take the costs and benefits of financial liberalization into account. ...
The net earnings of a country are recorded in the current account while the net change in the ownership is recorded in the capital account. The former is the sum total of balance of trade, cash transfers as well as factor incomes. The later consists of reserve account as well as the loans and investments between the country and the globe. There are mainly three types of financial capital namely equity capital, debt capital and specialty capital. The debt form of capital is injected into a business knowing that the capital must be returned back at a future date that is predetermined. The equity form of capital is the cash written by the holders of shares as well as the owners of the business into the organization that has no offsetting liabilities. The last from of capital is gold standard. It is among the few sources of capital that have almost zero economic cost. b) What are the dangers associated with international debt flows? Answer: The dangers of international debt flows are dangers in credit rating, bankruptcy danger, judgments, loans and late payments. The credit rating is negatively affected by debts. Bankruptcy can also be thought of as one of the dangers of debt. When the debt level reaches at such a height that is infeasible to pay, bankruptcy acts as the option. But it will be unfair to think bankruptcy as debt free card. A situation of bankruptcy can also negative effects on the credit report and can also affect the availability of credit in future. A high level of debt can result in multiple late payments if the available resources are not able to cover up the payments. c) Have developing countries benefited from FDI? Answer: FDI plays a more significant role in the developing countries than in the developed countries. ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Develop finance Assignment Example | Topics and Well Written Essays - 2500 words”, n.d.)
Retrieved from https://studentshare.org/macro-microeconomics/1397858-develop-finance
(Develop Finance Assignment Example | Topics and Well Written Essays - 2500 Words)
https://studentshare.org/macro-microeconomics/1397858-develop-finance.
“Develop Finance Assignment Example | Topics and Well Written Essays - 2500 Words”, n.d. https://studentshare.org/macro-microeconomics/1397858-develop-finance.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Develop finance

Strategic Finance Management: Gallaher Group Plc

Gallagher's comprehensive brand portfolio includes Benson & Hedges, Silk Cut, Mayfair, Sovereign, Sobranie, Dorchester, Troika, LD, Memphis, Meine Sorte, Ronson, Blend, Hamlet, Old Holborn, Amber Leaf, and Condor. The Group employs over 11,000 people, with manufacturing plants in Austria, Kazakhstan, Poland, Romania, Russia, Sweden, Ukraine, and the UK. Gallagher shares are listed on the London Stock Exchange and its ADRs are traded on the New York Stock Exchange. (Company Snapshot).
Gallaher Group Plus head office is located in Weybridge in the UK and the Group has four divisions. These comprise the United Kingdom, Europe, Commonwealth of Independent States (CIS) and the Rest of the World. The United Kingdom division is...
16 Pages(4000 words)Case Study

Principles of Corporate Finance

... ratio comparisons will not be presented. Also, as this paper is only concerned about the financial performance of the entities considered, qualitative issues will not be included. The rationale of choosing these two business organizations is simple. It should be noted that both of them are regarded as important players in the global pharmaceutical industry. Astrazeneca is involved in the “discovery, development, manufacture, and marketing of prescription pharmaceuticals primarily for the cardiovascular, gastrointestinal, neuroscience, oncology, respiratory and inflammation, and infection areas in the healthcare sector worldwide” (Astrazeneca Plc Profile 2006). GSK is the major competitor of Astrazeneca as the former engages...
7 Pages(1750 words)Term Paper

Contemporary Managerial Issues in Accounts and Finance

Political theorists like Veblen argued that the separation of corporate ownership from control generates a transfer of power from a minority of stockholders to a group of decisive owners who have the control over the way of access to credit and finance (Roe, 1994, p. 5).
However, contemporary analysts of corporate power contested that dominance and ownership in modern corporations have shifted to a property-less group of managers. Consequently, this current shift of power and control in large modern corporations could usher in ultimate preoccupation over profit rather than non-financial motives. Furthermore, the separation of power and ownership will lead to the destruction of the traditional legal theory of property which en...
23 Pages(5750 words)Literature review

Fundamentals of Finance

It is the size of the company that decides the role of financial management in a firm. In small firms, financial management is handled normally by the accounting department but in large entities, a separate department under the leadership of its CFO takes care of its financial management. Broadly “the financial manager of a firm plays an important role in a company’s goals, policies and financial success. The financial manager’s responsibility includes financial analysis and planning- determining the proper amount of funds to employ in the firm, i.e. designating the size of a firm and its growth; investment decisions- the efficient allocation of funds to specific assets; financing and capital structure decisions-...
11 Pages(2750 words)Assignment

Corporate Finance: Cables & Wires Plc

...Corporate Finance Introduction The company selected for the purpose of this assignment is Cables & Wires Plc, one of the FTSE 100 companies. The first part evaluates the weighted average cost of capital employed in Cables & Wires Plc as at 31March 2008. The second part of the write up takes into account the performance of cash flows in Cable & Wires Plc over the previous two years; and the third portion is the consideration of several factors involved in selecting a discount rate while making a decision about capital investment for the entity. a) Calculations of Weighted Average Cost of Capital A company’s cost of capital is the weighted average cost of various sources of long term finance used by the company, viz., equity, preference...
6 Pages(1500 words)Assignment

Personal Development in Accounting and Finance

...Personal Development in Accounting & Finance TABLE OF CONTENTS My Personality ……………………………………………………………..1 Job motivation and career development …………………………………….2 MBTI Personality Type & Strength and Weakness………………………….3 Review of Career and skills and abilities……………………………………..4 Job profile and Chosen C.V…………………………………………………..5 SAF draft form and skill and abilities related to it……………………………..6 Personality Development inAccounting and Finance MY Personality I believe that there are various dimensions to my personality and it would be complex to put forward it into a narrow context. I would like to depict myself as a unique individual with a distinct thinking and understanding. I have this outstanding quality of taking life as it comes...
6 Pages(1500 words)Essay

A Significant Role to Develop the Deception

The pretensions and lies intertwine each other to create the perception of the deception to the audience. In the effort of creating the plot and its progression, all the main characters spread lies or have secrets to hide to create a picture of deception.
First and foremost, King Claudius is a very dishonest and deceitful main character all throughout the Shakespearean drama. It is his self-destructing deceits the lead to his own demise and the death of the throne of Danish. He acquires all his power by secretly killing his own brother. He deceives the other characters around him by engaging in a strange waking and celebration. He mourns and celebrates in a pretentious manner to show that he sorrowful for the demise of his br...
7 Pages(1750 words)Literature review

Emergence of the Middle East and North Africa Region as the Islamic Finance Hub

....” United Nations Human Rights. 2014. Web. 10 Nov. 2014. . Goaied, Mohamed, and Sassi, Seifallah. “Financial Development and Economic Growth in the MENA Region: What about Islamic Banking Development.” JEL classification: E44; O16; C33. (2010): pp. 1-23. Web. 10 Nov. 2014. Khan, Mohsin S., and Mirakhor, Abbas. “Theoretical Studies in Islamic Banking and Finance.” The Institute for Research and Islamic Studies, Houston, 245 p. 1987....
12 Pages(3000 words)Assignment

Health Care Finance in Saudi Arabia

...Health Care Finance in Saudi Arabia Government Efforts to Find other Sources for Budget Allocations to Spend on the Health Sector The government is advocating for the initiation of multiple financial sources through the Cooperative Health Insurance program. This is coupled with the compulsory insurance scheme for the employed under a system called Compulsory Employment-Based Health Insurance. Such schemes have made the insurance sector a major per taker in the financial matters relating to the health sector. A number of expenses that would have been the government’s responsibility are covered by the insurance sector. Therefore, insurance schemes are one of the alternatives used to finance the health sector. The role of civil charities...
7 Pages(1750 words)Assignment

Analysis of Literature about Corporate Finance, Financial Accounting I and Financial Accounting II

...Task 2 Literature Review of Task 2 Literature Review Introduction The section of the report discusses past writings related to the capital structure, revenue recognition, and treatments of the current assets by companies. The books and articles are helpful in highlighting the importance, treatments, and difficulties while analysing the selected three topics that are related to Corporate Finance, Financial Accounting I and Financial Accounting II. Financial Accounting I Treatment of Current Assets Stickney, Weil, Schipper, & Francis (2009) have highlighted that current assets are recorded in the balance sheet of the company. They represent those assets that are used to generate income for the business. Life of current assets is short i.e...
10 Pages(2500 words)Literature review
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Assignment on topic Develop finance for FREE!

Contact Us