In this article we will discuss about the factors determining yields on stock of a firm. Also learn about the computation of yields on stock. Factors Determining Yields: The general level of yields on stocks is determined by a complex of factors. I. Level of Interest Rates: A change in interest rates will affect security prices and yields as follows: [...]
Learn how to calculate simple and compound interest with the help of suitable examples. Calculation of Simple Interest: Simple interest is the interest calculated on the original principal only for the time during which the money lent is being used. Simple interest is paid or earned on the principal amount lent or borrowed. Simple interest is ascertained with the help [...]
The following article will guide to learn how to calculate annuity of cash flows in a company. An annuity is a cash flow, either income or outgoings, involving the same sum in each period. An annuity is the payment or receipt of equal cash flows per period for a specified amount of time. For example, when a company set aside [...]