Questions from Corporate Finance

Q: Imagine a decision task in which you are to choose between two

Imagine a decision task in which you are to choose between two alternatives that involve blindly drawing a single chip from one of two urns, labeled A and B respectively. Both urns contain colored bal...

Q: Excel has a function, BINOM.DIST, for the binomial

Excel has a function, BINOM.DIST, for the binomial probability distribution. This function computes the probability of drawing x successes in n independent trials when the probability of drawing a suc...

Q: Discuss the psychological aspects associated with how Groupon’s board and executives analyzed

Discuss the psychological aspects associated with how Groupon’s board and executives analyzed whether or not they should accept Google’s offer.

Q: Consider the notion of “transaction utility.” How does this concept

Consider the notion of “transaction utility.” How does this concept apply to Group on’s business strategy?

Q: Compare the IPOs of Groupon, Facebook, and Twitter in respect

Compare the IPOs of Groupon, Facebook, and Twitter in respect to hot issue market, initial under pricing, and long term underperformance.

Q: Given the details in the minicase, to what extent did Groupon

Given the details in the minicase, to what extent did Groupon, Facebook, and Twitter engage in either catering behavior or market timing?

Q: Discuss the chronology of Twitter through the lens of the Baker-

Discuss the chronology of Twitter through the lens of the Baker-Wurgler sentiment framework.

Q: Based on the information presented in the minicase, and the discussion

Based on the information presented in the minicase, and the discussion in both Chapter 2 and this chapter, to what extent does Elon Musk fit the general characteristics of an entrepreneur and a CEO, e...

Q: Consider the manner in which the readers of Aswath Damodaran’s blog responded

Consider the manner in which the readers of Aswath Damodaran’s blog responded to his $67 valuation for Tesla, as discussed in the minicase. Analyze the psychological basis for their responses.

Q: From the MHHE web site for Chapter 6, download the free

From the MHHE web site for Chapter 6, download the free cash flow analysis file associated with this minicase. Compare the various cash flow analyses, for both the same point in time in 2013, to ident...