标题: gwartney international [打印本页] 作者: pawn 时间: 2011-7-13 16:14 标题: gwartney international
Please refer to Question 3 on P432 in Volume 2. (Q3 of EOC questions in Reading 20)
1-What is liability duration? I thought that liability duration was an indicator of the maturity of a plans liabilities. How can gwartney have a liability duration of only 10 years and at the same time have a young workforce?
2- Can someone please explain question 1 to me. The explanation is still confusing.作者: Windjam 时间: 2011-7-13 16:14
duration I believe is used in the sense of cash flows * avg length. Kind of like in a Modified Duration sense of the term in Fixed Income.
which part of question 1 (I believe you are talking about the Worden Technology Inc) confuses you?
CP作者: nannan66 时间: 2011-7-13 16:14
Sorry, I meant question question 3A of gwartney international. I'm still struggling with this one作者: lcai 时间: 2011-7-13 16:14
surplus=assets - liabilities
assets have gone up 10% (9% return objective + 100 bps more).
liabilities have increased by 12% - so liabilitiies increase > assets increase.
so assets - liabilities would go up more.
given 298$ = liabs, assets=300$
surplus=300-298=2
liabs become 298*1.12=333.76
assets became 300*1.1=330
