FINC 6001 Intermediate Corporate Finance

1. Go to the Chicago Board Options Exchange’s delayed quote table
(http://www.cboe.com/delayedquote/quote-table)
i) Select a U.S. listed stock with options traded on the stock.
ii) Provide a screen shot of the prices for options on your stock expiring in June 2021.
Make sure your screenshot contains information on the ticker symbol, date of the
quote and the current stock price. (0.5 marks)
iii) Highlight/circle the call option that is at-the-money (or closest to being at-themoney) (0.5 marks)
2. Calculate the call option price based on the Black-Scholes option pricing model. Assume
the stock’s volatility is 20%. Clearly state any assumptions you make. (4 marks)
3. Calculate the call option price based on a three-period binomial tree. Use the following
formulas to calculate the up and down movements: (4 marks)
1 ൅ ?? െ ????????% ൌ?ൌ?ఙ√௛
1 ൅ ???? െ ????????% ൌ?ൌ
1
?
ൌ ?ିఙ√௛
Where ? ൌ standard deviation of annual returns
ℎ ൌ length of time step as a fraction of a year
? ൌ base of natural logarithms

4. Why are there differences between your answers to parts (2) and (3)? Which option price
(from parts (2) or (3)) do you think is more accurate? Explain your answer. (Max 200 words)
(3 marks)
5. Compare your answer from part (4) to the real option prices downloaded from the CBOE
website. What are some reasons for the differences between your answer and the real
option prices? (Max 200 words)
(3 marks)

Question 1

Constant Payment Mortgage [30 points] – Create an amortization schedule and answer the following questions for a $600,000 30-year fixed-rate, constant-payment mortgage that is partially-amortizing with a balloon payment of $100,000. The contract interest rate is 3.25% with monthly payments. Up-front fees on the loan equal 3.0% and there is no pre-payment penalty.

a.) What is the annual percentage rate (APR) for the loan?

b.) What is the effective interest rate (EIR) on the loan if prepaid at the end of year 7?

c.) What is the EIR if the loan is prepaid at the end of year 7 and there is a 2% prepayment penalty? (Hint: the prepayment penalty is 2% of the remaining balance)

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Question 2

Constant Amortizing Mortgage [30 points] – Create an amortization schedule and answer the following questions for a $600,000 30-year fully-amortizing CAM loan with monthly payments. The contract interest rate on the loan is 3.25% and there are no points associated with the loan.

a.) Assuming no upfront fees/points or prepayment penalty, what is the EIR if the mortgage is prepaid in full at the end of year 7?

b.) Assuming 1 point in origination fees but no prepayment penalty, what is the EIR if the mortgage is prepaid in full at the end of year 7?

c.) Assuming 1 point in origination fees and a 2% prepayment penalty, what is the EIR if the mortgage is prepaid in full at the end of year 7?

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Question 3

Adjustable Rate Mortgage [40 points] – Create an amortization spreadsheet and answer the following questions for a $600,000 10-year 3/1 ARM loan that is fully-amortizing with monthly payments. The loan terms include a teaser rate of 2.0%. After the initial teaser rate period, the interest rate resets annually to the index rate plus a margin of 1.50%. The loan terms also include an annual interest rate cap of 2.0% and a lifetime interest rate cap of 6.0% over the initial teaser rate. Expectations for the beginning-of-year values for the appropriate index are as follows:

a.) Calculate the appropriate contract rate for years 1 – 10 and then complete the amortization schedule.

b.) What is the effective interest rate (EIR) for the loan if it is held to maturity (assume no upfront fees/points or prepayment penalties)?

c.) Assuming upfront points of 3.0%, what is the loan’s EIR if it is held until maturity?

d.) Assuming upfront points of 3.0%, what is the loan’s EIR if it is prepaid at the end of year 4 (assume no prepayment penalties)?

Based on the data provided (USA.xlsx), provide executive team with visualized data to help them with decision-making

• Identify Key measures and provide aggregate values for each of them

• Create and calculate profitability KPI; show the contribution of each product line for the generated profit

• Identify the profitability of the company across different states of the country; are they above the benchmark?

• How is each product line performing in terms of the sales?

• Find the products that are high in sales quantity and profitable to the company

• Compare all the products based on profitability KPI and the number of quantities sold by the company

• Find the product that provides high profit amount irrespective of profit ratio

DETAILED ASSIGNMENT

20201002192904home_assignment_1_visualization.pdf

you are on the testing team at work. unfortunately, your companies programmers do not have good testing practices. there aren’t many tests written, and the ones that are out there don’t work reliably: they pass some of the time, but they often fail for unrelated reasons. while your developers get their testing act together, your boss wants you to write a tool to at least make the tests relatively usable.

you have to write an unflake program that will rerun a test if it fails the first time (or the 2nd time or 3rd time …). you also need to keep track of stdout and stderr in a single file from the tests, so you need to log them to a file. once the program completes, you need to print how many times the program ran, the exit code or signal that killed the program, and print the program output. the exit code of unflake must match the exit code of the last run. if the last run will killed with a signal, unflake should have an exit code of 255.

1. Job opportunities in Family Dollar

2. Job Opportunities in Home depot.

**NOTE* = The companies’ website should state the available jobs.

Create a table/list that includes : a. the job position, b. location (address), c. job tasks/description, and whether its full time or part time work. They MUST BE located in Brooklyn, NY only. Preferably store associate and stocking. No manager positions or higher positions that require a college degree. You can also list brief qualifications if needed. Again, only jobs within these companies located in Brooklyn, NY, no other boroughs (example: manhattan, queens, etc).

To clarify : The positions cannot be any supervisor or project design positions. They must be store associates, cashier, stocking, overnight jobs, team member, sales and customer services, or support, greeters, mail clerk, etc.

MME 312 

Find : Here is the items to find.

a) draw the free body diagram of the full structure and each of the members

b)Determine the internal loading acting 1 in above the pin joint A at ct a’-a/

c)Determine the aaverage normal stress in member BC.

d) Determine the allowabke force P if the yield strength of member BC is 200 Gpa, using a factor of safety 2

You have been assigned to investigate whether or not an employee at a local hospital has been accessing patient records and setting information to online pharmacies. It is your first day of the investigation. Put together a list of data sources that must be examined during the investigation.

Evaluate the internal processes or strategies within an organization in which you are involved, such as your workplace, school, church, or community group, in order to identify a problem that provides an opportunity for innovation. Then, determine an innovative solution for addressing that problem. Examples of potential solutions are entering a new market, implementing a new practice or process, or even changing management structures. The ultimate goal of your solution should be to increase the diffusion of innovation within the organization and contribute to a culture that appreciates innovation as a key to competitive advantage and organizational success.

Though your final paper will not be due until the end of the course, you should identify your problem and generate potential solutions early on. Begin drafting your implementation plan in stages as you work through the course topics. As with your CLC project, you should research and select a model for evaluating both the feasibility of your idea and the implementation plan. In 1,500-2,000 words, address the following in your plan:

1. Describe the problem your innovation targets. What is the scope of the problem and which stakeholders, both within the organization and without, does it impact?

2. Describe your innovation and explain how it addresses the problem. How will it meet the needs of the organization and all stakeholders involved?

3. How does the innovation contribute to the organization’s competitive advantage?

4. Develop an implementation plan for effectively diffusing the innovation within the organization. Make sure the plan addresses potential resistance and obstacles, including people and processes.

5. Identify an appropriate method that could be used for measuring the impact of the innovation on the organization. Explain why you think this is a relevant measure.

6. Finally, assume your innovation is adopted by the organization. Make recommendations for additional improvements within in this organization (in processes, practices, structures, etc.) that could create and sustain momentum for innovation.

Write a minimum 200 word statement that indicates your evaluation of book, _The Gangster We Are All Looking For_. This could be the first start of Essay #2, or it could be a portion of one of your body paragraphs, part of your brainstorming, or a new idea you are exploring. To clarify: an evaluation is a reasonable opinion, similar in tone to a movie or book review.