Category: Finance

This assignment is an individual assignment.
The assignment must be submitted in WORD format only.
Assignments submitted through email will not be accepted.
Students are advised to make their work clear and well presented, marks will be deducted for poor presentation. This includes filling your information on the cover page.
Students must mention question number clearly in their answers.
Late submission will NOT be accepted.
Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions.
All answers must be typed using Times New Roman font (size 12, double-spaced). No pictures containing text will be accepted and will be considered plagiarism.
Submissions without this cover page will NOT be accepted.

Assignment Purposes/Learning Outcomes

CLO1: Examine the role of the financial system in the economy and the rationale for financial intermediation.
CLO2: Demonstrate an awareness of the variety of financial instruments.
Attempt all Questions Maximum Marks :10

1.Discuss some of the manifestations of the globalization in the capital market of Kingdom of Saudi Arabia (2Marks)
2a. What is a simple loan?(1Mark)
2b. If Ahmed borrows 100SAR from his father and next year his father wants 110SAR back from him ,what is the yield to maturity on this loan? (2Marks)
3. “The more risk-averse people are, the more likely they are to diversify. “Is this statement true, false, or uncertain? Explain your answer(2Marks)
4.Can you think of any financial innovation in the past ten years that has affected you personally? Has it made you better or worse off? In what way?(3Marks)

Answers:
1.
2.
3.
4.

pleasa write all the answers in the file , avoid plagiarism , the work should be in your own woeds , writie references. ” and long answer of 300 words or more . for every question

– I want original text, no plagiarism. (500 words).
– You can find the instructions in the file. Please read it carefully.
– APA Style
– Add references
Thanks
–
Our textbook:
Keown, A. J., Martin, J. D., & Petty, J. W. (2020). Foundations of finance: The logic and practice of financial management (10th ed.). Prentice Hall.

Q11.How does a well-constructed investment policy statement (IPS) contribute to the long-term success
of portfolio management, and why is it important to regularly review and update the
IPS?
Q12. How does the concept of asset-liability management (ALM) affect the investment strategies of
institutional investors such as pension funds and insurance companies

Scenario
In this project, you will step into the role of a financial analyst tasked with conducting a comprehensive financial analysis for a potential corporate investment opportunity. Your goal is to create a detailed financial analysis report that will guide the investment decision-making process for the corporation you select from the Final Project Student Spreadsheet, which is linked in the What to Submit section.
You have been hired by a prominent financial consulting firm known for its expertise in providing data-driven insights to corporations seeking to make informed investment decisions. Your firm has a reputation for delivering accurate financial analyses that aid companies in identifying profitable investment opportunities.
Final Project Submission: Financial Analysis Report
In Module Nine, you will submit your financial analysis report along with your completed Final Project Student Spreadsheet. It should be a complete, polished artifact containing all of the critical elements of the final project. It should reflect the incorporation of feedback from your instructor provided throughout the course. This submission will be graded with the Final Project Rubric.
What to Submit
Your financial analysis report should be 7‒12 pages, not including a title page and references page. It should use 12-point Times New Roman font, double spacing, and one-inch margins. Cite sources according to APA style. Also, submit your completed. Your supporting research should be as up to date as possible. Any news stories, press releases, or additional sources must be dated within the last 60 days. Company data should be no more than one year old. Using older data may result in being asked to resubmit your work.

Scenario
In this project, you will step into the role of a financial analyst tasked with conducting a comprehensive financial analysis for a potential corporate investment opportunity. Your goal is to create a detailed financial analysis report that will guide the investment decision-making process for the corporation you select from the Final Project Student Spreadsheet, which is linked in the What to Submit section.
You have been hired by a prominent financial consulting firm known for its expertise in providing data-driven insights to corporations seeking to make informed investment decisions. Your firm has a reputation for delivering accurate financial analyses that aid companies in identifying profitable investment opportunities.
Final Project Submission: Financial Analysis Report
In Module Nine, you will submit your financial analysis report along with your completed Final Project Student Spreadsheet. It should be a complete, polished artifact containing all of the critical elements of the final project. It should reflect the incorporation of feedback from your instructor provided throughout the course. This submission will be graded with the Final Project Rubric.
What to Submit
Your financial analysis report should be 7‒12 pages, not including a title page and references page. It should use 12-point Times New Roman font, double spacing, and one-inch margins. Cite sources according to APA style. Also, submit your completed. Your supporting research should be as up to date as possible. Any news stories, press releases, or additional sources must be dated within the last 60 days. Company data should be no more than one year old. Using older data may result in being asked to resubmit your work.

The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.
Assignments submitted through email will not be accepted.
Students are advised to make their work clear and well presented; marks may be reduced for poor presentation. This includes filling your information on the cover page.
Students must mention question number clearly in their answer.
Late submission will NOT be accepted.
Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions.
All answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism).
Submissions without this cover page will NOT be accepted.

Assignment Questions: (Marks- 10)
Answer all the following Questions:
Identify and briefly discuss the various types of option transaction costs? (250-300 words) 2.5 Marks
Explain why an option’s time value is greatest when the stock price is near the exercise price and why it nearly disappears when the option is deep- in -or out- of -the money. (250-300 words) 2.5 Marks
ABC Company stock currently priced at $ 80. One period later it can go up by 25% or go down by 20%. The risk-free rate is 7 percent. Calculate the current /theoretical value of the European call option if the exercise/strike price is SAR 80? (5 Marks)
Answers:
1
2
3

The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.
Assignments submitted through email will not be accepted.
Students are advised to make their work clear and well presented; marks may be reduced for poor presentation. This includes filling your information on the cover page.
Students must mention question number clearly in their answer.
Late submission will NOT be accepted.
Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions.
All answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism).
Submissions without this cover page will NOT be accepted.

Assignment Questions: (Marks- 10)
Answer all the following Questions:
Identify and briefly discuss the various types of option transaction costs? (250-300 words) 2.5 Marks
Explain why an option’s time value is greatest when the stock price is near the exercise price and why it nearly disappears when the option is deep- in -or out- of -the money. (250-300 words) 2.5 Marks
ABC Company stock currently priced at $ 80. One period later it can go up by 25% or go down by 20%. The risk-free rate is 7 percent. Calculate the current /theoretical value of the European call option if the exercise/strike price is SAR 80? (5 Marks)
Answers:
1
2
3

Powerpoint Presentation for the attached document
The narrated PowerPoint presentation should be about 6-7 slides. It is recommended to include the following slides:
Slide 1: The title slide with your name and the companies analyzed in the project;
Slide 2-3: The most significant results of the trend analysis of the company with short comments;
Slide 4-5: The most significant results of the ratio analysis of the company with short comments;
Side 6-7: Recommendations

Powerpoint Presentation for the attached document
The narrated PowerPoint presentation should be about 6-7 slides. It is recommended to include the following slides:
Slide 1: The title slide with your name and the companies analyzed in the project;
Slide 2-3: The most significant results of the trend analysis of the company with short comments;
Slide 4-5: The most significant results of the ratio analysis of the company with short comments;
Side 6-7: Recommendations