UGB363 Ignoring tax and the time-value of money between days 1 and 20, and assuming the details: strategic corporate finance Assignment, UM, Malaysia

School

University of Malaysia (UM)

*We aren't endorsed by this school

Assignment Type

Individual Assignment

Subject

UGB363 strategic corporate finance Assignment

Uploaded by Malaysia Assignment Help

Date

08/12/2023

Part B

Required:

(a) Ignoring tax and the time-value of money between days 1 and 20, and assuming the details given are the only factors having an impact on the share prices of A and B, determine the day 2, day 6, and day 12 share prices of A and B if the market is:
1. Semi-strong form efficient, and
2. Strong form efficient
In each of the following circumstances:
(i) the purchase consideration is cash as specified above, and (5 marks)
(ii) the purchase consideration, decided upon on day 2, and publicly announced on day 6, is one newly issued share of A for each share of B. (10 marks)
Alan’s guidelines: Please refer to class practice exercise

(b) “A market in which prices always “fully reflect” available information is called “efficient”. The ideal is a market in which prices provide accurate signals for resource allocation.”

Required:
Critically evaluate the above statement, ensuring the response is supported with relevant empirical evidence. Discuss whether the capital market in Hong Kong is considered to be an efficient market.
(Alan’s guidelines: Students need to explain what is Efficient Market Hypothesis and the meanings of its three forms with one example you can think of for each form (e.g. “semi-strong form EMH means ………, and for example, if semi-strong form EMH holds, then an analyst who ………. Will not be able to earn extra return by………..)
In addition, you need to critically evaluate each level of market efficiency by referring to academic empirical evidence on the Hong Kong Stock Market, and you need to express your own views on these findings.)

Stuck in This Assignment? Deadlines Are Near?

Get Help By Expert

Calling all University of Malaysia (UM) students tackling the UGB363 strategic corporate finance Assignment! Struggling with concepts like ignoring tax and the time value of money between days 1 and 20? Our assignment help Malaysia and Thesis Writers in Malaysia services are tailored to support Malaysian students like you. Let our experts guide you through the intricacies of this assignment, ensuring a deep understanding of the crucial details required. Pay our experts for personalized assistance that ensures mastery of these complex concepts and secures your success in the course. Count on us to be your academic allies throughout your UM journey.

Answer

UP TO 15 % DISCOUNT

Instant Paper Writing Services by Native Malaysia Writers

Plagiarism Free Solutions
100% Original Work
24*7 Online Assistance
Native PhD Experts
Hire a Writer Now
Convincing Features
Plagiarism Free Report
On-Time Delivery
Native Writers
A+ Quality
100% Confidential
24*7 Online Assistance

Get these features included in Your Assignment

Get Assistance for Assignments, online Exam, and Projects Writing