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1.Share an example of how a stock price wasimpacted by the i

1.Share an example of how a stock price wasimpacted by the i.
1.Share an example of how a stock price wasimpacted by the increase or decrease in the demand for that stock due to goodnews, national event, etc. 2.You can use Excel to calculate the future value of an annuity using the FV function. To use this function, you input:a. Rateb. PeriodsC. Payment if you are saving money, this is a negative numberd. Present valueType (payment at the beginning (annuity due) or at the end of the period (ordinary annuity))The following video from Lynda.com (Frye, 2016) demonstrates how to use this function. Ref: Frye, Curtis (2016). FV: Calculating the future value of an investment. Retrieved from Lynda.com on May 24, 2017.3. Major online newspapers publish this information but as an MBA and an investor it is important to understand how these numbers are calculated. Please go to Barrons.com (or another similar site) and select a publicly traded stock (such as Walmart, Amazon, GM) different from your classmates. Please calculate and interpret the following: Current Yield P/E Ratio Note in the stock listing the current ratio and the P/E ratio are provided. I want you to show the math so that you understand the calculations behind the numbers. Please see my example. Also, please include a screen shot of your source information. ** Analysis of GE ** Current Yield = (Dividend Per Share)/(Closing Price per Share) * 100% CY = $0.96/$27.83 * 100% = 3.45% (this matches what is provided from Barron s) Therefore, 3.45% is the return on your investment through dividends. P/E Ratio = (Current Price Per Share)/(Net Income per Share) Note: EPS = Earnings Per Share = Net Income Per Share P/E = $27.83/$1.08 = $25.77 (this is close but not exact because the EPS is for the TTM trailing 12 months). Therefore, investors are willing to pay $25.77 for $1 of earnings when the price of stock is $27.83. ** I have attached the screen shot in a Word document. **4. When you purchase a home your monthly payment is typically composed of PITI (principal, interest, taxes & insurance). The taxes and insurance are not included in this spreadsheet since they are a function of where you live. For a fixed rate loan, the principal and interest part of the loan are fixed; however, the property taxes and insurance more than likely will increase over time (our taxes increased recently). Let me know what you think. Experiment with the spreadsheet. Look at things such as: How big of a difference is there for a 1% change in interest rate? At what point are you paying more principal than interest? What happens if you take a 20-year loan instead of a 30-year loan?5. Share a specific example of each of the 3 tiersof investing. Discuss the risks andpotential return.
1.Share an example of how a stock price wasimpacted by the i

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