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Ch 1

Accounting equation (Ch 1):

The balance sheet shows the relationship between assets, liabilities, and stockholder’s equity at a particular date. In equation form, Assets = Liabilities + Stockholder’s Equity. This is referred to as the basic accounting equation.

Financial statements (Ch 1) Format/Content (which accounts belong on each financial statement):

Four types of financial statements:

Income Statement:

Summarizes all revenue and expenses for period (month, quarter, or year). If revenues

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ECONOMI

Human beings are trying to cover  basic   need,   biological necessities. Men is compel to  produce those things Life from Marxist point of view is the process where human beings, 1st makes products to  satisfy his needs, and secondly makes himself making products. Marx defines us as workers. We express ourselves in labor, workin. When the product of workrs labor. If the product of workers labor belongs to other people, when this happens the workers humanity is stolen or abducted. In the privet

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x

Elements of the decision prob: Decisions to make; Uncertain events; Value of specific outcomes/ Influence Diagrams: graphical representation of uncertain quantities and decisions that explicitly reveals probabilistic dependence and the flow of information/ Arcs: Decision: information flow& the chronological order. Arcsvalue&chance: conditional and show probabilistic dependence between decision elements. A->B: B is conditioned on the value of A/ Sensitivity analysis: relative impact of

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Marketing 1

marketing – The activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. 

Deliver genuine value.

Discover the needs and wants of prospective customers and satisfy them.
exchange – the trade of things of value between a buyer and a seller so that each is better off after the trade
4 Factors of Marketing – (1) two or more parties (individuals or organizations) with unsatisfied

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call put parity

Binary or digital options have a payoff at expiry that is discontinuous in the underlying asset price. 

For example, a binary call pays some quantity (for example, 1 euro) at maturity time, if the asset price is then greater than the exercise price K (for example K=100).  

Why would you invest in a binary call? Assume you think that the asset price will rise by expiry. 

To finish above the strike price then we can choose to buy either a vanilla call or a binary call. 

The vanilla call has the best

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business

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 5. FINANCIAL INFORMATION AND DECISIONS

5.1. Needs of Capital

Finance = Capital = Money

Main reasons why businesses need finance:

o To start up a business: the money needed to buy the

essential assets to start trading is the start-up capital

o To expand the business

o To increase working capital

• Working capital – money needed to pay day-to-day costs

There are 2 types of finance needs:

o Short-Term Finance Needs:

Finance needs to pay things that last less than a year,

(working

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