What Is A Game Of Investment?

Apple’s Inc.’s graphs clearly shows how the stock price has been increasing in instances of Open, High, Low, Close, Average and Volume rate between the period. As it was depicted in the descriptive statistics table, the stock price has been inclining constantly within two months. Benefiting from the great increases in the sales of IPHONE and IPAD and the record surge of Mac sales, the apple stock price has kept rising since last October.

In May 2010, Apple's market cap closed the day at $222.12 billion putting it ahead of rival Microsoft Corp. Shares of Apple reached an all-time high of $330.26 during 2011's first regular trading session.

Throughout the past year, Apple stock has had an astounding growth of 45% over the past twelve months, as well as a 10% growth of dividends by 10%. This increase in dividend is expected to increase by 7.43% over the next 12 months. Along with stock price and dividends, earnings per share is also expected to rise. Earnings per share is expected to rise from the current amount of $1.88 to as high as $10.74 per share. Apple’s marketing strategy is designed to keep stock prices high and shareholders happy. This growth in Apple stock is expected to continue to rise with a median change of 8.7% in the next twelve months. The current state of Apple stock is very impressive and market predictions show that it should become even more impressive in the next twelve months. (Financial Times

In chapter 101, Christopher explains the Monty Hall problem. The Monty Hall problem is a math word problem that is based off of probability. Sumed up, the problem involves three doors. One door has a car behind it and the other two doors have goats behind them. Once you pick a door, its not opend and the game show host opens one you have not chosen. You are then left with just two doors to pick from again. The question is, weather or not you should stick with your first choice or choose the other option. Christopher then explains that the right choice would be to change your choice because of the higher probability of getting a car. Towards the end of the chapter he expresses that “intuition can sometimes get things wrong. And intuition is

The main impact that is driving down Staples’ stocks is its struggle to keep up the foot traffic in its stores. Staples used to be the go-to and popular choice to get your school supplies for the new year. However, that is changing in the recent years with its struggle to compete with its competitors like Walmart; who has very low prices and sells just about everything else in its store making it the one-stop shop that parents love. The Back-to-School season is the main season for Staples to earn the most revenue. In Staples’ Third Quarter of 2015 Earning Release, they said their sales were down 6% compared to the third quarter of 2014, which transcribes as 5.6 billion dollars down in sales. Since this has been a steady trend in the last few years. Staples have announced in its 2014 Annual Report, they “...plan to close at least 225 retail store in North America by the end of the fiscal year or 2015” as part of their restructuring plan. This plan is suppose to help offset the

Staples hold only about one quarter of the long-term debt in relation to equity compared to Office Depot or Amazon. This gives Staples several advantages because the firm is likely to be perceived as less risky. It will likely still be easy for Staples to find financing for expansion or operations than for its major competitor. This is due not only to its holding less long-term debt in relation to equity, but also because Staples remains a profitable company

stock from Apple at $107.48. Not that bad. But over a period of time, the numbers

When the psychologist is only correct 50%, it means that her prediction has no influence on people's choices. Whether picking one box only or both boxes, people all have a equal 50% chance getting $1,000,000, or nothing in the Zero-or-Million box. The expected value of picking only one becomes $500,000(.5 times $1,000,000 plus .5 times $0) and of picking both becomes 502,500(.5 times $5,000 plus .5 times $1,000,000) But if picking both boxes, they could get a basic $5,000, while $0 if picking only one.

The historic average returns from 1950 to 1996 and from 1929 to 1996 are given In Exhibit 3. We chose the latter time period as we considered it would give us a more reliable estimate of the risk-free rate by discounting both the Second World War and the Great Depression. It is necessary to evaluate the expected length of the project and utilize a risk free rate applicable for the same time period. Ameritrade is investing $100 million dollars in technology, which is considered a long-term investment, in order to become the largest brokerage firm. We consider their

Competitor's Ratios and Analysis. Using relative comparative analysis (Table 6), competing firms Google and Amazon have unique performance over fiscal years (FY) 2014-2016. Measuring profit performance using profitability ratios, Google has a greater gross profit margin than Apple and retains an average of 61 cents for every dollar spent on direct sales. However, Apple outperforms Google on both return on assets and return on equity ratios. Meaning, Apple retains 14 cents for every dollar in assets in comparison to Google’s 11 cent retained average. In addition, Apple retains a net average of 35 cents for every dollar invested by common shareholders.

However, in spite of the successes of Apple, the Company’s stock price had been dipping since reaching its high

For Apple, the 7-for-1 split will bring their share price from around $565 per share to approximately $80 per share. Apple will attract more investors at the $80 per share than the $565 per share. The impact by the price split to these investors is purely psychological. The actual value of stock does not change, but the lower stock price may impact on the way the stock is perceived and entice new investors to open up their wallets.

So the investor will invest 32.58860806% of the investment budget in the risky asset and 67.41139194% in the risk-free asset.

What are some of the explanations given in the article for why one company has traded at a premium over the other over time? Explain how these factors affect stock values.

Personal investment is defined as an individual invest and manage their own financial instrument, such as, stocks, bonds, property and others. This personal investment is in aims of improve the liquidity and efficiency of the equity and capital of the individual. Basically, the individual investors have to develop their own investment plan and framework based on different characteristics of the individual investors. This is because the personal investment is very subjective, whereby it is totally based on the characteristics and the degree of risk tolerance of the individual investors. However, before investing into the financial instruments, the individual investors should develop an investment plan and strategy. This