Imagine that you are the asset manager for a major northern European Hub Airport. The airport is under strong competition from Amsterdam, Frankfurt, London, Madrid & Paris.
The probability of a winter snow closure is 0.333 per year. The downtime cost for the airport is 1m / day. In addition, the marketing department has estimated that reputation damage costs an additional 1m per closure.
With existing equipment it takes on average three days to clear snow during which time the airport has to be closed and penalties are incurred.
There is an option to buy new state of the art snow clearing equipment.
This equipment has been successfully used at Denver airport in the USA. It would cost 3m to buy and it would last 30 years if properly looked after and maintained. It is estimated that annual storage, upkeep, painting, maintenance and running costs for this equipment would be 50,000 per year. Training for drivers would be 10,000 initially and 500 / year thereafter. The snow
Hey, how are you doing? I need some help with a DCF Question. I need it as soon as possible. Could you please help me out with it? Thank you!
I have also attached the solution to another DCF Analysis question and the format should somewhat look like that.
the pdf explains everything but it wrote in italian and in english. You can use google translate to traslate the italian part of pdf. The exercise is only 3 ( not do the 4th ).
In the zip there is the project and it will very easy to complete if you are able to use java.
Thank you.
If you don't understand some part in italian, also with using google maps, you can wrote me and I will explain to you
Please read carefully. This assessment consists of a 20 multiple choice quiz that I must complete during the period of 18th-24th May (Deadline date is random but the quiz must be completed around that time). The Topics for the quiz are "Capital budgeting continued and Basic cash management" (Workshop 8), "The cost of capital" (Workshop 10) and "Leasing and Introduction to options" (Workshop 11). There is a bit of an overlap for the "Answers for workshop" documents as the "Answers for workshop 10" document consists of the answers for Workshop 8, "Answers for workshop 11" document consists of the answers for Workshop 10 and "Answers for workshop 12" document consists of answers for Workshop 11. The quiz has a time limit of 3hrs. For the task to be carried out, I would need to arrange with the expert a suitable time for the both of us to be able to complete the quiz uninterrupted (the quiz must be completed between 18th-24th May). I will post the screenshots of the questions on here for t
2. Lucas tree economy: Consider the one-tree economy we studied in class with equilibrium stochastic discount factor M0,t = etvt, vt N(t,2t), > 0, > 0. Let us assume that the time-0 dividend (fruit) is Y0 = 1.
(a) Consider a so-called digital option, which pays out 1 at the given time, T > 0, if (and only if) the price of the economys stock (tree) pt > Z, for some Z > 0. Thus, if pT > Z, the owner of the option gets 1 at time T, and if pT < Z, the owner gets nothing. Denote the price at time t of the option by Dt. Using what you know about SDFs, derive an expression for the value of the option at time 0, D0.
(b) Now consider an asset that pays pT at time T. What is the value of this asset at time 0?
3. Equity premium puzzle: Consider a one-tree economy with expected log growth rate per year 2
of E[ln(Yt+1) ln(Yt)] = 1%, and annual variance of V ar[ln(Yt+1) ln(Yt)] = (2%) . The representative agent has CRRA utility, with risk aversion coefficien
This is an online assignment done on WileyPlus (I would give you the login info). There are 36 short questions consisting of multiple choice, true are false, and calculations where the answer is to be recorded in a textbox. There are 3 attempts per question, however the grade potential is reduced to 70% after the first attempt.
Format: Calculation and brief working or short answer with explanation as well as the calculation solved in an Excel spreadsheet. For each calculation you must provide a manual solution and a solution using excel. Typing straight into excel without doing the calculations in excel does not qualify as solving in excel. Use the excel template provided. Do all the assignment with explanations in excel and upload one file. Type your explanation and manual answer in text boxes.
Two answers one in Excel and one in a Text box
You must provide a full answer with explanation and accompanied with the calculation done manually and one done in Excel. See the example below.
1. Manual answer as if you were answering the question in an exam (but typed). Include a time line or cash flow map/table, an explanation of the logic used to arrive at the answer, the formula used and then the calculations. The formula on its own followed by the answer is not enough.
2. &nb
Two answers one in Excel and one in a Text box
You must provide a full answer with explanation and accompanied with the calculation done manually and one done in Excel. See the example below.
1. Manual answer as if you were answering the question in an exam (but typed). Include a time line or cash flow map/table, an explanation of the logic used to arrive at the answer, the formula used and then the calculations. The formula on its own followed by the answer is not enough.
2. You must also do the solution in Excel. Typing the answer as a number into excel is not enough.
Do all the assignment with explanations in excel and upload one file. Type your explanation and
2. Write a VBA Procedure that, assuming uniform historical scenario weights, calculates
- Historical VaR,
- Expected Shortfall
- and EVT Tail VaR of DFL Bank's Trading Portfolio while at the same time...
A) Give user flexibility to choose confidence interval and time horizon (max=5 days) as number of days; as well as critical cut point required by EVT
Assume DFL Bank's total trading portfolio consists of derivatives, stocks and bond instruments and only considers risk arising from FX, IR and EQ risk factors and reporting Currency is in USD.
The worksheet: RFSeries contains historical riskfactor scenario time series of all risk factors, including IR, EQ, FX risk factors (risk factor symbols are consistent to my class notes). In the worksheet: RFSeries, the 3rd row contains Base scenario (i.e. risk factors' values as of today), 4th row contains the past one day historical observations, 5th row contains the past two days historical observations, etc. There ar
Groups should answer the questions provided by the instructor in the case in a PowerPoint presentation of 10-15 slides. Summarize the case first and then proceed with the answers to the questions at the end of the case. The questions should be answered directly and comprehensively. Names should be displayed on the first slide. Finally wrap up your presentation with some concluding comments of the point of the case and what you learned (takeaways). Be sure to show the tables with your calculations for asset allocation. Be sure to discuss the answers to the questions in detail. You will not be presenting, the PowerPoint is just to turn in to me (emailed on CANVAS). Please use slide numbers on each slide.
