Overview
Instructions
The summary should be approximately 250-500 words. In order to qualify as substantive, the post should further the discussion by adding a new supportive fact or continuing the conversation with a follow up question (reasoning for the question included in the post). Please include proper citations in your discussion post. Points will be deducted if proper citations are not used.
Week 3 - DQ 1
You have been asked to perform a stock valuation prior to the annual shareholders' meeting next week. The two models you have selected to value the firm are the dividend discount model and the discounted cash flow model. Explain why the estimates from the two valuation methods differ. Address the assumptions implicit in the models themselves as well as those you made during the valuation process.
Week 3 - DQ 2
Assessment Description
Using your Wall Street Journal subscription, select an article about the current economic conditions and trends regarding a changing interest rate environment. How would bond values change over time? As a bond investor, what measures would you take to manage rate risk based on current economic conditions and the current interest rate trends? Select an article to justify your position.