Finance Week 2 Essay Example | Topics and Well Written Essays - 500 words

Finance Week 2 - Essay deterrent exampleI am pleased that we can use a pecuniary data processor to help us, exclusively if I am unsure ab come in the variables and then it wont help me much. For interest rate, I was previously unsure about how they are determined and why they can change so quickly. after going through Chapter 6, however, I now feel like I have a unattackable grasp of it.2. The financial ratio that I find easiest to agnise is the single future cash race ratio because it is very straightforward and there are no added variables. By that I mean that anyone with provided a basic understanding of math would be able to comprehend it because the ratio follows a pattern. The hardest financial ratios to understand are those with multiple future cash flows because the resolutenesss can be unpredictable if there is a series of unequal amounts. The cash flow timeline helps me a lot because I can visualize all(prenominal) cash flow in terms of where it comes from and ho w it influences the overall outcome. The most difficult thing is trying to realize out where the investment problems variables fit into the equation. Once I have the right equation, I can ordinarily solve for the unknown variable because then it just becomes a simple case of math.3. The financial calculator is both useful and challenging for me at the same time. I like it because it helps me to find the correct answer in a short amount of time. If I have figured out all the variables, then I can simply plug the numbers in and the calculator will spit out the answer. The one problem that I have with it is that I sometimes dont fully understand why it gave me a certain answer. If I was able to work through the problem step-by-step, then I would have a better understanding of it.4. I would describe the current level of interest rates as moderately high. Although current inflation is relatively low due to the financial crisis, there is hitherto a lot of risk in the marketplace, and t his ensures that