What about the accelerated investment incentive that goes till 2028? does that not apply here?
@profjohnk8 күн бұрын
Thank you for your question, while it might be relevant in other scenarios (like real life lol), we do not cover that in intro finance classes.
@sourpatch_king17 күн бұрын
Thank you so much! I have searched far and wide for a lifeline in understanding this concept. It was not mentioned in the required textbook for the online college course I am taking so I couldn't complete this week's assignment until now. You are a lifesaver! thank you
@profjohnk15 күн бұрын
Thank you!! I'm glad you found this useful.
@LisaSternberg-u3s19 күн бұрын
You mention downloading the PDF but I can't find the PDF anywhere. Can you tell me where it is to download?
the last question cuts off! where can we find the answer?
@davidwayne9864Ай бұрын
I was doing this problem,Given a stated annual interest rate of 6% compounded quarterly, the level amount that, deposited quarterly, will grow to £25,000 at the end of 10 years is closest to: why if i changed the c/y to 4 and p/y to 4 do i need to input 40 for n and not just the ten years. Isnt the point of p/y to do that step for me? thank you
@profjohnkАй бұрын
No, the point of PY is just to tell the calculator that your payments are quarterly so that it calculates the effective rate correctly. You ALWAYS need to input N in the correct unit of them because it N is the number of periods, not the number of years. N = years * PY Let me know if that’s clear or if you have any other questions s
@SaraParker-zb1wh2 ай бұрын
hi! great video, thank you!! do you have any for Leverage and the capital structure Dividends and dividend policy Thanks!!
@profjohnk2 ай бұрын
Not on KZbin but I do have videos on leverage and capital structure as part of my Introduction to Corporate Finance course on my website. DM me on instagram to discuss. @prof.johnk
@jeremytemblay77802 ай бұрын
Great video! However, you did a calculation mistake using the depreciation rate method. The final answer should be 24,538.28 not 27,265.56.
@profjohnk2 ай бұрын
Ah man you’re absolutely right! Thank you for spotting that.
@sanasanagmi2 ай бұрын
Hi Jhon, why did you choose the growth rate of 6% and not the 15% which is related to the first timeline ?
@profjohnk2 ай бұрын
The 15% is only over the first 3 years but since no dividend is paid there we did not need it for anything
@sanasanagmi2 ай бұрын
Hi John. Do you have videos about equities?
@profjohnk2 ай бұрын
There are equity problem solving videos on my page. For the complete lesson on equity valuation check on my 'Introduction to Finance' class on my website.
@Hkdrawing8173 ай бұрын
thank you so much
@profjohnk3 ай бұрын
You're welcome!! I'm glad it helped. If there's anything else you're trying to on your calculator feel free to ask!
@sanasanagmi3 ай бұрын
Hi John, Why in the last question you did choose to divide on 0.08 for the k and not 0.006?
@profjohnk3 ай бұрын
I used 0.08/12 instead of 0.006 so that I don't have any rounding error.
@Squidapult1053 ай бұрын
at 9:10 in this video you do 5/(.08-.06)=25... isn't the correct answer $250?
@profjohnk3 ай бұрын
Yea good catch, missed a 0 on that one. Thanks!
@tasnim44193 ай бұрын
Thanks a lot for presenting such content. Hopefully, you add more content about Finance because your lectures are very helpful. I will definitely recommend your channel to my colleagues.
@profjohnk3 ай бұрын
Thank you. I will post additional content yes, if you want to access my complete lectures and notes please check out my website www.profjohnk.com. I have a course on Introduction to Finance that you and your colleagues will enjoy and learn from.
@orwarayess7003 ай бұрын
this is comm 308?
@sanasanagmi3 ай бұрын
I'm here for comm308
@profjohnk3 ай бұрын
This is time value of money, the concepts of TVM are the same everywhere. I hope you enjoy.
@anaviana26414 ай бұрын
This video helped me figure out a question in the assignment. Text books don't explain it this way. THANK YOU SO MUCH
@profjohnk3 ай бұрын
You're very welcome!
@maoonini61834 ай бұрын
I need explanations when you have only the sample size, how can you calculate the probability and the expected returns
@profjohnk3 ай бұрын
Sorry didn't see this, can you clarify what you mean?
@dylanconroy67604 ай бұрын
like liver king?
@profjohnk3 ай бұрын
yes?
@venukhemachandra43724 ай бұрын
so if the CAMP is higher than the expected return of a stock what does it tell you?
@profjohnk3 ай бұрын
It means the stock is overvalued.
@huunguyen4845 ай бұрын
Can you take a look at the Fina 210 project?
@m.10825 ай бұрын
thank u ily so much hbb
@profjohnk3 ай бұрын
You're welcome!
@loonation21856 ай бұрын
Thankss
@anidanielyan73546 ай бұрын
Margarita is too awesome 💞
@profjohnk6 ай бұрын
The best!
@paytonlefevre35198 ай бұрын
what if they aren't corellated
@profjohnk6 ай бұрын
If the stocks aren't correlated you would still do pretty much the same thing. Your correlation/covariance would just be zero or close to zero.
@cybergigan13488 ай бұрын
How do I calculate Payback Peroid on a normal BA II Plus? When I press NPV it doesn't go past NPV no matter how much I go down
@profjohnk8 ай бұрын
You can't unfortunately, you need the professional one. Not worth the investment as it is really the only extra thing it can do.
@cybergigan13488 ай бұрын
@@profjohnk oh, well, thank you for letting me know then.
@ToCuteElisha8 ай бұрын
Thanks helped alot!
@profjohnk8 ай бұрын
Glad to hear!
@christianomictin97558 ай бұрын
Very helpful videos! Thank you prof John!
@profjohnk8 ай бұрын
Glad it was helpful!
@Elias-nh5or9 ай бұрын
Hey John. Why don't you also substract the 50,000 from omega for the NPV?
@profjohnk8 ай бұрын
Since that outflow is at year 3, I deducted it from CF3.
@HarryTandel9 ай бұрын
Why i got 114969.25 as final amount?
@jeevacation9 ай бұрын
Why couldn't we use Walter's model here? D/ Ke + g using 14% as Ke? 3.5/.14+.05 = $18.4210 to get the initial cost of the price. Nice video as always
@jeevacation9 ай бұрын
My teacher told us to do it differently We basically did it like this: ((Inflow - depn) (1-tax rate)) + depreciation I lost marks for just using (Inflow - depn)(1-t) as the after tax inflow. sucks and has me confused.
@jeevacation9 ай бұрын
nvm just had an 'aha moment' basically to calculate tax and for that we remove depreciation FULLY (as my country allows full tax deduction) and NPV is supposed to be about cashflow and depreciation isn't a real outflow so we have to add that back in in the US its different, you guys have a depreciation tax shield where you'll only get a tax deduction on the portion of depreciation, so that is what made me confused when I watch these videos xD I guess in this instance you just remove the tax shield and add in the depn back to get the cashflow which you're going to discount
@vladi21810 ай бұрын
i have no exact cash-flow. the founder asks for 200.000€ today and you expect to get 1.000.000€ in 9 years. your cost of capital 20% how can i find npv with financial calculator. please help!
The video slightly cropped and the .5 isn’t visible, but the result of the calculation is 26.5 Thanks for pointing it out
@Isabella-fx5xp Жыл бұрын
this was really helpful as I'm studying for my finance course, thank you! I appreciate your straightforward delivery.
@profjohnk Жыл бұрын
I’m glad you found it helpful!
@VodkaSoda Жыл бұрын
This video saved my ass for my midterm. Thanks!😁
@profjohnk Жыл бұрын
Yesss!! Glad this was helpful for you
@tomthetitan101 Жыл бұрын
you make this so straightforward, thank you!
@profjohnk Жыл бұрын
Thank you! I’m glad you found it helpful
@Langtw Жыл бұрын
"Worked", past tense. I hope you've enjoyed your life, because it's not gonna last very much longer. Sic semper tyrannis.
@profjohnk Жыл бұрын
Thank you for your concern
@JorgeRuizGonzalez Жыл бұрын
A very interesting conversation. Thank you very much for your time. 👍
@profjohnk Жыл бұрын
Thanks for watching!
@fifahacks4223 Жыл бұрын
Great video. Thanks!
@profjohnk Жыл бұрын
Thank you!
@philipchoo958 Жыл бұрын
Good video, but I would suggest maybe adding a bit more explanations on the concepts.
@profjohnk Жыл бұрын
Thanks for the feedback!
@katiamichakis9448 Жыл бұрын
Hi John, I got the PV inflow as $200,465.07 not $309,810.00. Did I make a mistake or is there a calculation error in the solution? Thanks!
@katiamichakis9448 Жыл бұрын
Never mind! You wrote PMT as 66,000 instead of 102,000 and that's why it didn't work for me (this is for Machine 1 btw).
@katiamichakis9448 Жыл бұрын
Very interesting and insightful question/solving! Do you think this is a common type of question for the final COMM 308 exam? Thanks!
@laurentconstantin8130 Жыл бұрын
Isn't the formula for CAPM= RF + (ERm-RF) x beta, but you didn't subtract the market premium to the RF in the brackets, can you explain why pls? thanks
@katiamichakis9448 Жыл бұрын
I saw that too. I feel like it might be a typo.
@jamminstunt8 ай бұрын
Market Premium = (ERm - RF) , where ERm is Expected Return Rate of Market. Since its already given, we can just input 8% directly in the formula
@rounakreddy2292 Жыл бұрын
good video but your volume is a little low.
@Phoebonaccii Жыл бұрын
Appreciate all the videos, 308 and 220 midterms are creeping up lmao. If ever you have time, could you do a video summary or wtv for Ch. 12: The Risk and Term Structure of Interest Rates in 220. It's pretty confusing ngl
@olivierouimet9924 Жыл бұрын
Hey John! Great video! Will you do other videos like this one to explain TFSA, RRSP and other money management tips that we don’t learn in school?
@profjohnk Жыл бұрын
Absolutely!
@sabrinag1195 Жыл бұрын
Thank you so much for this helpful video ! Could you please cover Efficient Markets next?
@profjohnk Жыл бұрын
Great suggestion! You mean the efficient market hypothesis?
@sabrinag1195 Жыл бұрын
@@profjohnk yes!
@fargo135 Жыл бұрын
It's crazy how easy you make it to understand.
@profjohnk Жыл бұрын
Thank you!!
@jupitereye4322 Жыл бұрын
What?! No. You've missed the capital gains part. You are also missing the comparison between what you are getting in terms of square footage, location, how much you are losing/saving in cost of transportation, proximity of stores, and so on. You can find a rental that is cheaper and benefits you in terms of monthly cost, but not in other parts of the equation. You also have to consider future of the area you are investing in, if you are buying. Perhaps the are is not so great, perhaps there are plans for development which would make it awesome in few years. It depends also on projected interest rates in the future, which aren't guarantied of course, and it may temporarily be a bad choice to buy but in few years it would be awesome and your monthly expenses would shrink, unlike your rent that is set to grow each year in most cases. Not to mention other things like safety of the area, be that rental or owning. If someone breaks your car and you have to pay 300 to fix a window, that is also a cost of your choice.
@randomnameg4041 Жыл бұрын
What motivated you to type all this
@Rizztiano9 Жыл бұрын
There’s no way you typed all this… and btw im pretty sure he was stating the non-obvious facts
@profjohnk Жыл бұрын
Yea there are probably several points to consider when making this decision. Here we are discussing the mistake people make of comparing a monthly rental to the a monthly mortgage payment. Thank you for your input though, I’m sure others will find it helpful.