Unit 6 (Videos) Flashcards
The stockholder’s equity can be made up of:
share capital legal reserves voluntary reserves prior periods' profit and loss net income
net income can comprise
profit/lose of a period
The total stake holder’s equity can be found by …
adding share capital, reserves, profits and losses in the previous period
It is important to understand that the nominal value of the entire share is …
share capital/the number of shares
the nominal value of a share is calculated by …
dividing the number of shares into the share capital
the nominal value is the emission value
true
If we know the nominal value, it’s important to also know the book value of shares because …
if we only have nominal value, and it is the same as the emission value, and both are less than the old value of the shares, the old value of the shares will be reduced.
The book value of an old share can be calculated by …
(total stock holder’s equity)/(the number of old shares)
The difference between the book value of an old share and the nominal value of the old share is the …
issue premium
The emission value of new shares must be equal to the …
book value of the old share
The nominal value is also called the …
face value
The nominal value of the old shares is the same as the nominal value of …
the new shares
The book value of the old shares is the emission value of the new shares, and the book value of the old shares is the same as ___________.
the book value of the new shares.
The book value of the old shares is the emission value of the new shares, and the book value of the old shares is the same as the book value of the new shares.
True
We calculate the book value of the new shares as the (total stock holder’s equity before the issue + the new issue (the value of the new shares*emission value))/the total number of shares
the new issue of a share is calculated as
the value of the new shares*emission value
The book value of a new share is calculated as …
(total stock holder’s equity before the issue + the new issue (the value of the new shares*emission value))/the total number of shares (old shares + new shares)
The total number of shares is calculated as …
old shares + new shares
We issue a share with an emission value equal to the nominal value plus a premium because …
The new book value of the share will be the same as the old book value when we calculate it.
If dealing with EURIBOR, the interest is …
EURIBOR rate + Differential rate
EURIBOR + differential gives a …
nominal interest rate
equal installments are calculated with the function PMT.
True
To calculate a new installment, we must know …
the outstanding loan in that moment.
The outstanding loan in a particular moment can be calculated with the function PV
True
The higher the interest the higher the installment.
True
The function PV discounts values to the present moment.
True
NPER calculates …
the duration of a loan
When the prepayment commision is a percentage, we have to …
isolate the prepaid loan by considering the amount we have for the prepayment and divide it by (1+cancelation fee)
prepayment/(1+cancelation commission %) = prepaid amount
If the commision fee of prepayment is an amount, we just have to ______________.
subtract (discount) the amount from the prepayment
prepaid amount = loan amount actually prepaid + commission
True
“Obtained Funds” are considered __________ flows.
in flows
Opening payment and installments are considered _______ flows.
out flow
Global Cash Flow for each moment is obtained by ___________.
Adding the inflows and out flows in each moment
Postpaid annuities start payment in moment ______.
1
Prepaid annuities start payments in moment ______.
0