Quote Case Studies Samples For Students

A) Cost of Equity Calculation:

= Risk free rate+ Beta(market risk premium)
= 2.24+0.57(6.2)
= 5.78%

Calculative Notes:

a) Risk Free Rate:

30-year US treasury rate: 2.24%

b) Equity Risk Premium:

Duff and phelps equity risk premium: 6.2%

c) Beta: 0.57

B) Cost of Debt: 2.72%

For the purpose of calculation of cost of debt, we have assumed average of yield to maturity of existing bonds of the company.
c) Equity and Debt Weights:
D) Cost of Capital-On Book Value basis

E) Cost of Capital-On Market Value basis

Important to note, cost of capital based on market value is the most appropriate as it represents the appropriate risk involved within the company’s capital structure.

G) Equity and Asset Beta

Beta (asset) = Beta (equity) / [1+ [(1-t)*D/E]]
The above table indicates that amongst all ...

Five Below, Inc. is a retail chain belonging to the specialty retail industry which was incorporated in Pennsylvania, USA in 2002. It offers “dynamic, edited assortment of exciting products, all priced at $5 and below, including select brands and licensed merchandise” ("Overview | Fivebelow"). Five Below’s products range from sports equipments, styling merchandise, small décor items, craft works to candies and party items. It largely targets customers who are teenagers or pre-teens.
Since the company’s inception, it has expanded its business to almost all regions of the United States and has been successful in opening more than ...

U.S. 211, Addyston Pipe and Steel Company v. U.S. (1899)
U.S. 211, Addyston Pipe and Steel Company v. U.S. (1899)
1. Provision of the Antitrust Laws
The provisions invoked in the case were sections one and two of the Sherman Act, 1890. The provisions illegalized any persons or group of persons who shall in one way or another conduct themselves in a manner that would restrain trade. The conduct includes matters of contract and or trusts. In addition, the Constitutional clause on commercial transactions between states was also invoked as being ancillary to the matters at hand.
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The main purpose of the case is to clearly show the competitive situation on the market of beverages identifying key strategies applied by leading companies such as Pepsi, Coca-Cola and others. At the same time the author focuses on the business model of the Soda Stream Company providing information about its corporate strategy and values, market positions, financial performance and strategic vision.
In framework of deep market research, the author purports to answer the question whether the business model of Soda Stream will remain efficient being able to replace manufacturers of plastic soda bottles. The answer was expressed at ...

The university is in to contract with Tenex Company where the company supplies the University with stock tab paper. When they entered into the contract, the company was to supply stock tab paper on a fixed price basis. Now that the prices for the stock tab paper have gone up, Tenex approaches the University's purchasing department so that they can go to a guaranteed margin approach as opposed to what they had agreed earlier, fixed price. The university's purchasing department responds to the Company (supplier) reminding them that the case would have been different had the prices gone down. ...

Question 1

On august 31, 1969 in the United States District Court M.D. North Carolina, Greensboro Division the United States of America as plaintiff, seeks to restrain and prevent the alleged violation of section 1 of the Sherman Act. The complainant, United States of America accused defendants of exchanging among themselves information involving price that have been charged, quoted, or contracted to charge to particular customers. The defendants were allegedly doing this with the aim of restricting price competition among themselves in the corrugated containers business in the Southeastern United States. However, the complaints of price fixing and violation of Sherman ...

Introduction

The courts judicial review and constitutional interpretation has been a central rational objection for democracy. The regular judicial invalidation of policies passed by elected officials as a minimum brought up problems of democratic legitimacy. The rational objection, which has been brought up against a background over many years of the United States populist political argument, prompted the active use of the judicial power in constitutional interpretation give way to the decision of legislative and majorities. The courts power in striking down laws considered unconstitutional has been politically controversial throughout American history (Prakash, 2003). The judicial review power has become politically salient and ...

1. Company Profile

Thomas Cook Group Plc operates within the tourism and travel industry. The Company owns, operates and manages travel agencies, tour operators and car hire agencies, as well as owning their own aircraft fleet, cruise ships and resort properties. Thomas Cook is known as one of the largest travel companies in Europe.

2. Financial Analysis

The Thomas Cook Group has reported a robust set of results for the 2009 and 2010 financial years despite the uncertain economic environment and the significant adverse impact of a weak sterling pound. Thomas Cook‘s revenue for the year decreased by4% to £8,890million (5% deduction at constant currency).

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