Hi, looking an expert in Finance please. Develop the questions and write down in the second one all the formuls step by step, not only the final result please. Not more than 3 hours, that′s why I am looking an expert thank you. Question 1: (a)Market efficiency refers to the degree to which market prices reflect all available, relevant information. Discuss the efficient market hypothesis and the possible reason why markets might not be efficient. (15 Marks) (b)Corporate finance investigates the various decisions facing corporations regarding their financing and investments. Critically analyses the trade-offs involved in two of these decisions. (15 Marks) Question 2: (a)Choose the column in the below table based on the first letter of your first name and complete the question 2(a) using these figures. Also, choose the column based on the first letter of your surname and complete the question 2(a) using these figures. e.g Name: Ben Lynch, choose column T1.1 form table 1 and column T2.3 from table 2. Widget Inc’s share price is (a) and there are 1 million shares outstanding. The company has a beta of (b), the risk-free rate is 1.5% and the market risk premium is 3%. It has 1 bond outstanding with face value of $50 million, trading at (c). The coupon on the bonds is (d) and they have a yield of (e). If the corporate tax rate is 15%, what is the firm’s WACC? (20 Marks) (b)Explain how financial professionals view risk and how it can be reduced without sacrificing return by investor? (15 Marks)
