Learn the valuation methods for financial assets including bonds, common stock, and preferred stock. Read more.
Robert (Bob) Steele CPA, CGMA, M.S. Tax, CPI
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Get Started with All Access PassBuy Only This CourseAbout This Course
Who this course is for:
- Business students
- Business professionals
What you’ll learn:Â
- Explain valuation methods for financial assets
- Calculate the valuation of bonds
- Calculate the valuation of preferred stock
- Calculate the valuation of common stock
Requirements:Â
- A general understanding of corporate finance concepts
This course will cover the valuation of financial assets including bonds, common stock, and preferred stock.
We will include many example problems, both in the format of presentations and Excel worksheet problems. The Excel worksheet presentations will include a downloadable Excel workbook with at least two tabs, one with the answer, the second with a preformatted worksheet that can be completed in a step-by-step process along with the instructional videos.
The general concept used to value financial assets is to take the present value of future cash flows from the financial asset. Therefore, we will need to use present value concepts and calculations.
The cash flow related to bonds will generally consist of a series of interest payments and a principal payment at maturity of the bond. We can use annuity calculations to determine the present value of the interest payments and present value of one calculation to determine the present value of principal at maturity.
Preferred stock has characteristics similar to bonds in that the payments are often standardized. However, we do not have a maturity date as we do with bonds.
Common stock can be more complex as we consider the future cash flow of dividends in an attempt to value the securities. The common stock dividends are more likely to change over time and we do not have a maturity date as we do with bonds.
Our Promise to You
By the end of this course, you will have learned how to calculate valuations of financial assets.Â
10 Day Money Back Guarantee. If you are unsatisfied for any reason, simply contact us and we’ll give you a full refund. No questions asked.
Get started today and learn more about valuation.
Course Curriculum
Section 1 - Introduction | |||
Financial Asset Valuation | 00:00:00 | ||
Bond Issued At Par | 00:00:00 | ||
Bonds Market Rate Vs Contract Rate | 00:00:00 | ||
Issue Bond At A Discount%2C Calculate%2C And Record Interest Payment | 00:00:00 | ||
Bond Issued At Premium | 00:00:00 | ||
Bonds Present Value Formulas | 00:00:00 | ||
Bond Price Present Value Tables | 00:00:00 | ||
Bond Price Excel Formula | 00:00:00 | ||
Preferred Stock Valuation | 00:00:00 | ||
Common Stock Valuation | 00:00:00 | ||
Section 2 - Practice Problems - Valuation Bonds, Common Stock And Preferred Stock | |||
Bond Value Different Yield Rates Problem 1 | 00:00:00 | ||
Bond Value Different Yield Rates Problem 2 | 00:00:00 | ||
Principal As A % Of Bond Price | 00:00:00 | ||
Bond Value Different Maturity Dates | 00:00:00 | ||
Bond Sale Percentage Profit (ROI) | 00:00:00 | ||
Bond Sale Percentage Profit (ROI) Long Term Sale | 00:00:00 | ||
Calculate Bond Rate And Change In Rate | 00:00:00 | ||
Calculate Bond Rate And Change In Rate Problem 2 | 00:00:00 | ||
Find Bond Market Rate Or Yield | 00:00:00 | ||
Find Bond Market Rate Or Yield Semiannual | 00:00:00 | ||
Bond Value Semiannual Payments | 00:00:00 | ||
Bond Value Semiannual Rate Change | 00:00:00 | ||
Section 3 - Excel Problems - Valuation Bonds, Common Stock And Preferred Stock | |||
Downloadable Practice Files | 00:00:00 | ||
Bond Value Different Yield Rates Problem 1 | 00:00:00 | ||
Bond Value Different Yield Rates Problem 2 | 00:00:00 | ||
Principal As A % Of Bond Price | 00:00:00 | ||
Bond Value Different Maturity Dates | 00:00:00 | ||
Bond Sale Percentage Profit (ROI) | 00:00:00 | ||
Bond Sale Percentage Profit (ROI) Long Term Sale | 00:00:00 | ||
Calculate Bond Rate And Change In Rate | 00:00:00 | ||
Find Bond Market Rate Or Yield | 00:00:00 | ||
Calculate Bond Rate And Change In Rate Problem 2 | 00:00:00 | ||
Find Bond Market Rate Or Yield Semiannual | 00:00:00 | ||
Bond Value Semiannual Payments | 00:00:00 | ||
Bond Value Semiannual Rate Change | 00:00:00 | ||
Preferred Stock Value | 00:00:00 | ||
Preferred Stock Yield Or Rate Of Return | 00:00:00 | ||
Common Stock Price No Growth Assumed | 00:00:00 | ||
Common Stock Value Calculate Stable Growth | 00:00:00 | ||
Estimated Earnings Per Share And Dividends | 00:00:00 | ||
Common Stock Rate Of Return Constant Growth Rate | 00:00:00 | ||
Common Stock Value Multiple Methods | 00:00:00 |
About This Course
Who this course is for:
- Business students
- Business professionals
What you’ll learn:Â
- Explain valuation methods for financial assets
- Calculate the valuation of bonds
- Calculate the valuation of preferred stock
- Calculate the valuation of common stock
Requirements:Â
- A general understanding of corporate finance concepts
This course will cover the valuation of financial assets including bonds, common stock, and preferred stock.
We will include many example problems, both in the format of presentations and Excel worksheet problems. The Excel worksheet presentations will include a downloadable Excel workbook with at least two tabs, one with the answer, the second with a preformatted worksheet that can be completed in a step-by-step process along with the instructional videos.
The general concept used to value financial assets is to take the present value of future cash flows from the financial asset. Therefore, we will need to use present value concepts and calculations.
The cash flow related to bonds will generally consist of a series of interest payments and a principal payment at maturity of the bond. We can use annuity calculations to determine the present value of the interest payments and present value of one calculation to determine the present value of principal at maturity.
Preferred stock has characteristics similar to bonds in that the payments are often standardized. However, we do not have a maturity date as we do with bonds.
Common stock can be more complex as we consider the future cash flow of dividends in an attempt to value the securities. The common stock dividends are more likely to change over time and we do not have a maturity date as we do with bonds.
Our Promise to You
By the end of this course, you will have learned how to calculate valuations of financial assets.Â
10 Day Money Back Guarantee. If you are unsatisfied for any reason, simply contact us and we’ll give you a full refund. No questions asked.
Get started today and learn more about valuation.
Course Curriculum
Section 1 - Introduction | |||
Financial Asset Valuation | 00:00:00 | ||
Bond Issued At Par | 00:00:00 | ||
Bonds Market Rate Vs Contract Rate | 00:00:00 | ||
Issue Bond At A Discount%2C Calculate%2C And Record Interest Payment | 00:00:00 | ||
Bond Issued At Premium | 00:00:00 | ||
Bonds Present Value Formulas | 00:00:00 | ||
Bond Price Present Value Tables | 00:00:00 | ||
Bond Price Excel Formula | 00:00:00 | ||
Preferred Stock Valuation | 00:00:00 | ||
Common Stock Valuation | 00:00:00 | ||
Section 2 - Practice Problems - Valuation Bonds, Common Stock And Preferred Stock | |||
Bond Value Different Yield Rates Problem 1 | 00:00:00 | ||
Bond Value Different Yield Rates Problem 2 | 00:00:00 | ||
Principal As A % Of Bond Price | 00:00:00 | ||
Bond Value Different Maturity Dates | 00:00:00 | ||
Bond Sale Percentage Profit (ROI) | 00:00:00 | ||
Bond Sale Percentage Profit (ROI) Long Term Sale | 00:00:00 | ||
Calculate Bond Rate And Change In Rate | 00:00:00 | ||
Calculate Bond Rate And Change In Rate Problem 2 | 00:00:00 | ||
Find Bond Market Rate Or Yield | 00:00:00 | ||
Find Bond Market Rate Or Yield Semiannual | 00:00:00 | ||
Bond Value Semiannual Payments | 00:00:00 | ||
Bond Value Semiannual Rate Change | 00:00:00 | ||
Section 3 - Excel Problems - Valuation Bonds, Common Stock And Preferred Stock | |||
Downloadable Practice Files | 00:00:00 | ||
Bond Value Different Yield Rates Problem 1 | 00:00:00 | ||
Bond Value Different Yield Rates Problem 2 | 00:00:00 | ||
Principal As A % Of Bond Price | 00:00:00 | ||
Bond Value Different Maturity Dates | 00:00:00 | ||
Bond Sale Percentage Profit (ROI) | 00:00:00 | ||
Bond Sale Percentage Profit (ROI) Long Term Sale | 00:00:00 | ||
Calculate Bond Rate And Change In Rate | 00:00:00 | ||
Find Bond Market Rate Or Yield | 00:00:00 | ||
Calculate Bond Rate And Change In Rate Problem 2 | 00:00:00 | ||
Find Bond Market Rate Or Yield Semiannual | 00:00:00 | ||
Bond Value Semiannual Payments | 00:00:00 | ||
Bond Value Semiannual Rate Change | 00:00:00 | ||
Preferred Stock Value | 00:00:00 | ||
Preferred Stock Yield Or Rate Of Return | 00:00:00 | ||
Common Stock Price No Growth Assumed | 00:00:00 | ||
Common Stock Value Calculate Stable Growth | 00:00:00 | ||
Estimated Earnings Per Share And Dividends | 00:00:00 | ||
Common Stock Rate Of Return Constant Growth Rate | 00:00:00 | ||
Common Stock Value Multiple Methods | 00:00:00 |