akaful is structured around the core principle of sharing risk rather than transferring risk. Explain the THREE (3) elements

Q: Capitalized cost is an application of perpetuity. It is the sum of the first cost and the present…

A: A perpetuity is a series of cash payments that have no maturity value. The capitalized cost is used…

Q: ut how is this related to CAPM and beta?

A: The Capital asset pricing tells that the how much should be required rate based on the risk of the…

Q: 1. Adrian is a bank manager. A customer Neo has come into the bank. Neo has a mortgage loan with the…

A:

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Q: But isn't it because when you invest in government bonds it's riskfree and therefore is Lokey wrong?

A: Government bonds are the bonds issued by the government. All payments related to the bond such as…

Q: , calculate the net investment for the new line.

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Q: 3-year, (b) 5-year, and (c) 10-year fixed-rate investments.

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Q: Your insurance policy has matured today. Your Insurance company offers two options: (a) 500000 today…

A: When cash flows occur at different points of time, they have to be brought to the same point of time…

Q: Question 2 a) What is the user cost of capital in a firm’s investment decision? b) What are the…

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Q: What is the interest rate the borrower will pay after the first rate adjustment?

A: Data given: Start rate = 3.50% Maximum cap for the first year=3% MTA index at the end of the first…

Q: Topic: Option Pricing When computing, please do not round off. Only final answers must be rounded…

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Q: Solve for the future value of $1,300 after 1 year invested at 4 percent if compounding is a) annual.…

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Q: why can  variance/volatility of returns be a misleading measure of risk for an individual asset held…

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Q: 12. Two alternatives have the cash flows as shown in the Table. At a 4% interest rate, the end of…

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Q: By how much would the capital structure shift change the firm's cost of equity?   a. −5.40%     b.…

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Q: If you save $760 today and receive 6% interest, how many dollars will you have after 1 year? Give…

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Q: You expect to earn 5 5/8%. The future value of this investment is closest to:

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Q: Topic: Option Pricing When computing, please do not round off. Only final answers must be rounded…

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Q: Q4. Samuel is planning to invest in a 12 year, 7% semiannual-pay, noncallable bond but is concerned…

A: Here, To Find: Part A. Current price of the bond =? Part B. Effective duration of the bond =?

Q: Identify at least any four(4) advantages of IRR over DPBP

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Q: Your RRSP savings of $52,500 are converted to a RRIF at 4.22% compounded monthly that pays $5,372 at…

A: EXCEL FORMULA:

Q: Economics (b) Rahmat plans to withdraw his money RM 3,090 each year for five years, beginning at the…

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Risk Management Techniques

Risk management is the procedure of recognizing, analyzing, monitoring, and preventing the risks and threatening factors of investments and business. Risks can arise from various factors including internal controls, market changes, natural disasters, and failure in productions. Risk management techniques enable entities to control and minimize the risks as well as the threatening factors of the business and it also helps to improve the business.