Hi, Im confusing with the example in the video lectures.
It is on the Lisa has a choice to settle the B shares for paying cash of $1 to redeem the share or issue A share.
In the view of investors, they would surely wanted the A share as the value of A share is higher.
However, in the case, Lisa has the choice but not the investor. Would it be uneconomical if Lisa choose to settle the B share by issuing the A share which is of higher value ? Why don’t Lisa pay cash of $1 instead of issuing A share which has $2 of value to settle B share ?
In the sense, it tells me that if I were Lisa, I would pay $1 to redeem the B share as it is more economical.
I think the question you should ask yourself is that what would cost more to issue the equity share or to pay cash. I would go for issuing shares since I already have them if I were Lisa.
Please help! I have the notes for the financial assets section but I find the lectures really useful. Please could you upload the financial assets video? The video labelled as financial assets on the lecture list is just an introduction when you go to view it. Thanks 馃檪
mehazia says
Can I use this for the F7 paper? cos the F7 video for the same is too bad ..
MikeLittle says
Of course you can
wang says
Hi, Im confusing with the example in the video lectures.
It is on the Lisa has a choice to settle the B shares for paying cash of $1 to redeem the share or issue A share.
In the view of investors, they would surely wanted the A share as the value of A share is higher.
However, in the case, Lisa has the choice but not the investor. Would it be uneconomical if Lisa choose to settle the B share by issuing the A share which is of higher value ?
Why don’t Lisa pay cash of $1 instead of issuing A share which has $2 of value to settle B share ?
In the sense, it tells me that if I were Lisa, I would pay $1 to redeem the B share as it is more economical.
Please clear my doubts.
Thank you.
dreado says
I think the question you should ask yourself is that what would cost more to issue the equity share or to pay cash. I would go for issuing shares since I already have them if I were Lisa.
Ajantha says
Hi, the lecture on financial assets is not uploaded. It would be very helpful if it is.
Thank you soo much for your lectures. They are incredible :).
sfhs says
Please upload Fin. Assets and fin assets impairment videos.
drice99 says
Hi please upload fin assets. Desperately needed
advice says
thanx
linavaliuliene says
I also miss the video on financial assets. Would be so much grateful if you load it. Thanks in advance.
P.s. All the lectures are simply great!
michaelige says
Where is the video on Example 2 financial assets Question Norman? admin pls do respond.
opentuition_team says
if it is not on line, it does not exist yet
aishakartar says
Kindly upload it. We really need it.
Thank you.
hannah77 says
Please help! I have the notes for the financial assets section but I find the lectures really useful. Please could you upload the financial assets video? The video labelled as financial assets on the lecture list is just an introduction when you go to view it. Thanks 馃檪
bigbadbiz says
Missing a lecture for Financial assets?
sisqonite says
Yes, Arman.
But the reality is the investor is assumed to be rational so (s)he would rather take equity.
armaghanbutt says
sir if cash redem.thn F. Liab ?