Tag: Economics

• Show all works for calculation, final result will not be accepted without showing how you reach to it.
  • Question 1 (1 point) How does NX = NCO and how real exchange rate are determined on the foreign exchange market? This is only two sentences. 
•    Question 2 (2 points) If the long run output equal 2,000,000,000,000 SAR, actual price equal 20 SAR, expected price equal 20 SAR.Assume responsiveness of price to actual output is 1, what is the actual output using the theories of SRAS? How about when expected price equal 25 SAR? Hint: you only need to plug the numbers on the three theories of SRAS. 
•    Question 3 (2 point) What is the different between budget deficit and investment incentives?

Writing Assignment

State legislatures continue to seek budget-friendly alternatives to the incarceration of juveniles. The legislatures, however, want to ensure their money is being well spent. To that end, you have been asked to rate the effectiveness of a local or national organization/non-profit organization/after-school program that is based on the prevention or rehabilitation of juvenile offenders.

These programs can be intervention-based, in that they attempt to prevent delinquency, or they can be rehabilitative, in that they seek to rehabilitate offenders. Many community-oriented diversion programs have websites that provide more than enough information for you to complete this assignment. One common program in Texas schools is DARE or Drug Abuse Resistance Education.

As a final alternative, the federal government measures the effectiveness of many such programs and publishes the results online. Some questions to consider as you complete this assignment are: What is the intended population? What standard are you using to measure the effectiveness? Why do you think it is effective and worthy of continued funding? Why is this a better alternative than incarceration? Is this approach too soft on crime?

1. The first essay is by the economist Paul Krugman, who is a columnist for the New York Times. He won the Nobel Prize in Economics in 2008 for his contributions to trade theory. The Nobel Committee explains,

“Traditional trade theory assumes that countries are different and explains why some countries export agricultural products whereas others export industrial goods. The new theory clarifies why worldwide trade is in fact dominated by countries which not only have similar conditions, but also trade in similar products – for instance, a country such as Sweden that both exports and imports cars. This kind of trade enables specialization and large-scale production, which result in lower prices and a greater diversity of commodities.”

Krugman’s essay is from a book of essays on international economics. The essay is called “Ricardo’s Difficult Idea” and discusses why he believes so few people share the consensus of professional economists on comparative advantage.

Link to the essay: http://web.mit.edu/krugman/www/ricardo.htm

2. The second essay is titled “A Petition” by the 19th Century political economist Frederic Bastiat. The essay is sometimes also referred to as “The Candlemaker’s Petition”, and it is a satirical essay that deals with common objections to international trade.

Link to the essay: http://econlib.org/library/Bastiat/basSoph3.html#S.1, Ch.7, A Petition (you may have to copy and paste this link).

The assignment is to write a response to these essays that discusses the following questions:

1) Who was the audience for each essay? How did those audiences differ?

2) Are the arguments presented largely positive or normative? Do the authors tones differ?

3) What positive argument is each author giving in support of open trade? Do they directly address common objections?

Your response should not exceed 2000 words, and should be at least 1250 words.

In an industry as complex as health care, organizational and market structures must be carefully considered. To participate in accountable care organizations (ACOs) and other value-based care initiatives, for example, hospitals need to have a coordinated care organization model across ambulatory care, acute care, and other settings. Developing these coordinated relationships may require vertical integration to ensure efficient utilization. Although there are many advantages to this integration of organizational and market structures, there are some disadvantages for both the hospital and the providers. For this Discussion, examine the following scenario and recommend strategies for the organizational integration of the hospital and practice.

Scanario:

You are the chief financial officer (CFO) of a hospital located in a highly competitive, urban market split with two competing hospitals. The hospital is considering purchasing or affiliating with a large physicians’ practice. Your hospital has 30% market share, but does not currently have any owned/employed physicians. Private insurers and Medicare are aggressively pushing value-based reimbursement under ACO contracts, and the one competing hospital has already acquired a large physicians’ practice.

• Analyze the provided scenario. What are the advantages and disadvantages of the vertical integration of the hospital and physicians’ practice? What economic factors should be considered?
• Consider strategies for the organizational integration of the hospital and physicians’ practice. Be sure to address the economic factors you identified.

Post a cohesive response to the following:

Compare advantages and disadvantages of the vertical integration of the hospital and physicians’ practice, including economic factors that should be considered. Then, recommend strategies for the organizational integration of the hospital and practice. Defend or argue your recommendations using economic principles.

Support your response by identifying and explaining key points and/or examples presented in the Learning Resources.

Additional Resources:

Getzen, T. (2015). Health economics for the healthcare administrator (Laureate custom edition). New York: Wiley.

• Chapter 8, “Hospitals” (pp. 172–186)
• Chapter 12, “Financing and Ownership of Health Care Providers” (pp. 259–287)

Pink, G. H. & Song, P. H. (2020). Gapinski’s understanding healthcare financial management (8^th ed.). Health Administration Press.

• Chapter 7, “Equity Financing”

Cutler, D., & Scott Morton, F. (2013). Hospitals, market share, and consolidation. Journal of the American Medical Association, 310(18), 1964–1970.

Note: Retrieved from the Walden Library databases.

Using financial statement data from 2017 to 2021:

• Build a pro forma model for Caterpillar.
• Find the current enterprise and share values.
• Conduct a sensitivity analysis by changing the WACC and the LT growth rate values.
• Whenever you make an assumption or a decision, insert a textbox and explain/discuss your assumption or the decision you made.
• Use charts whenever possible or needed.

• Real-world application on hedging.

For Topic 14’s required reading, we have two sources to look at:

• “The economy is in free fall. So why isn’t the stock market? (Links to an external site.)” by Emily Stewart
• “The stock market is not the economy (Links to an external site.)” by Daisy Palacios and Kai Ryssdal (podcast and article)

The first is specific to the recession induced by the COVID-19 pandemic, and the second is a general explainer. In both cases, we’re trying to understand a really important idea: the stock market is not the same thing as the economy!

In around 300-500 words, please address the following questions:

1. What stood out to you as the most compelling reasons why the stock market is not the same as the economy? Are there reasons why a “good” stock market could coincide with an “bad” economy, or vice versa? Try to connect this to the kind of things we’ve studied in our course.

2. The Emily Stewart article was published in early May of 2020. Do you think much has changed since then to change the situation described in the article?

3. What in your opinion would have to change in order for the stock market to be more representative of the economy than it currently is?

Assignment 2 is to rate the combined debt of Grainger and MSC Industrial Direct (Symbol MSM) assuming Grainger bought MSC

Grainger will buy MSC for 1.2x MSC’s recent Enterprise value of $5.45b or $6.5b

The entire purchase price will be paid for with newly issued debt with an interest rate of 4%

The rest of MSC IBD will be paid as an element of this acquisition

Rate the combined company’s using only the 2020 year-end financials (10k) and a current EBITDA for MSM of $425m (TTL)

Defend the rating and offer alternatives to the board to improve the rating of the combined company

What factor(s) is/are driving the down grad

Please do the assignment on document ”S&P Rating Fall 2021”

(I HAVE INCLUDED ATTACHMENTS WITH THE KELLOGG FINANCIAL STATEMENTS YOU WILL NEED TO DO THESE CALCULATIONS ) **

FIN 325Final ProjectMilestone ThreeGuidelines & Rubric Overview:

The final project for this course is the creation of a financial statement analysis.A business’s financial statements offer important insights into its performance and financial health that help guide internal managers’ and external investors’ resource allocations. For a financial analyst, being able to accurately read and interpret these statements is a critical tool in making sound recommendations to clients or company executives. Analysts also need to understand how the limitations of these statements and the legal and ethical obligations that underpin them impact business decisions.

Prompt: In this milestone, you will submit adraft of aportion of the analysis step (PartII), Section C: Key Ratios. You will calculate the ratios for the company selected in Milestone One and show your calculations for each indicator in an appendix. Specifically, you must calculate and explain profitability, liquidity, debt, operating performance, cash flow,and investment valuation.

Specifically,the following critical elementsmust be addressed:

II.Analysis. Use this section to present your findings, based on quantitative and qualitative analysis of the financial statements. Include a copy ofthe financial statements and any ratios or analysis in an appendix as support for your text. In particular, this section should cover:

c)Key Ratios. Use this section to discuss key performance indicators (ratios). Be sure to show your calculations for each indicator in an appendix. Specifically, you must look at:

1.Profitability: Accurately present and explain the significance of the profit margin, return on assets, return on equity, and return on capital ratios for this company. In other words, what are the ratio values for this company,and what do they suggest for informing decisions to buy or sell company shares or change management procedures?

2.Liquidity: Accurately present and explain the significance of the current, quick, and cash ratios for this company. In other words, what are the ratio values for this company,and what do they suggest for informing decisions to buy or sell company shares or change management procedures?

3.Debt:Accurately present and explain the significance of debt, debt-equity, andinterest coverage ratios for this company. In other words, what are the ratio values for the company,and what do they suggest for informing decisions to buy or sell company shares or change management procedures?

4.Operating performance: Accurately present and explain the significance of the fixed-asset turnover ratio for this company. In other words, what is the ratio value for this company,and what does it suggest for informing decisions to buy or sell company shares or change management procedures?

5.Cash flow: Accurately present and explain the significance ofthedividends payout ratio for this company. In other words, what is the ratio value for this company,and what does it suggest for informing decisions to buy or sell company shares or change management procedures?

6.Investment valuation:Accurately present and explain the significance oftheprice/book value, price/earnings, price/sales, and dividend yield ratios for this company. In other words, what are the ratio values for this company,and whatdo they suggest for informing decisions to buy or sell company shares or change management procedures?