Pakistan Banks Ratios

What factors should Amerada management consider when evaluating the reposed st trampgy? . Calculate Marinades debt-to-value ratio employ both the book value and market value of the firms fairness. How does Marinades debt-to-value ratio comparing to that of other discount brokerage and investment service companies in usher 4? In general terms, how does leverage affect the rockiness of a firms equity? 3. Amerada has a short history of trading, so its beta cannot be computed merely using its own historical data.Exhibit 4 stomachs some choices for comparable firms. Which of these firms do you think are appropriate to use as comparable to pin down the beta of Marinades planned advertising and technology investments? Why? 4. Using the decline price and return data in Exhibits 5 and 6, estimate the multitude beta and Fame-French factor sensitivities for the stocks of comparable firms. 5. Estimate the weighted-average cost of capital for Marinades proposed expansion. What risked rate do you use?Are the cost-of-capital estimates similar using the CAMP and Fame-French three-factor models? Guidelines You may work on the case in groups of 3 or 4 students. Please hand-in one write-up per group. All members of the group should be prepared to contend the case in class. State clearly any assumptions you make and provide enough information so that a reader can engage your analysis. I would expect the case write-up to be two to three pages positivist supporting tables.