Categories
Financial Management

Using the same business idea (project) that you have identified in your In-modu

Using the same business idea (project) that you have identified in your In-module group presentation (IMA), write a report on your OWN (not with anyone else) answering the below questions. You are required to answer ALL of Section A and select and answer ONE question from Section B.
Section A:
Question 1
a) Briefly introduce the project (business idea).
[100 words; 5 Marks]
b) Critically assess the implications of different financing options for your new project (Corporate Financing and Project Financing) and give your suggestions in terms of financing large projects.
[1200 words; 25 Marks]
Section B:
Answer ONE of the following questions:
Question 2
Some people claim that the budget is always wrong and setting up budgets is time-consuming, so there is no need for business to prepare budgets.
Critically evaluate the above opinion. Discuss the importance of budgeting, then select and justify an appropriate budgeting approach for your proposed project and give advice on how to improve the budgeting control system.
[1200 words; 30 Marks]
Question 3
Critically evaluate no more than four potential risks (including financial risks) associated with your proposed project and discuss how they can be managed and/or mitigated.
[1200 words; 30 Marks]
[Total PMA: 2,500 words; 60 Marks]

Categories
Financial Management

Using the same business idea (project) that you have identified in your In-modu

Using the same business idea (project) that you have identified in your In-module group presentation (IMA), write a report on your OWN (not with anyone else) answering the below questions. You are required to answer ALL of Section A and select and answer ONE question from Section B.
Section A:
Question 1
a) Briefly introduce the project (business idea).
[100 words; 5 Marks]
b) Critically assess the implications of different financing options for your new project (Corporate Financing and Project Financing) and give your suggestions in terms of financing large projects.
[1200 words; 25 Marks]
Section B:
Answer ONE of the following questions:
Question 2
Some people claim that the budget is always wrong and setting up budgets is time-consuming, so there is no need for business to prepare budgets.
Critically evaluate the above opinion. Discuss the importance of budgeting, then select and justify an appropriate budgeting approach for your proposed project and give advice on how to improve the budgeting control system.
[1200 words; 30 Marks]
Question 3
Critically evaluate no more than four potential risks (including financial risks) associated with your proposed project and discuss how they can be managed and/or mitigated.
[1200 words; 30 Marks]
[Total PMA: 2,500 words; 60 Marks]

Categories
Financial Management

What are the components of the WACC? How is this rate used by a company? Provid

What are the components of the WACC? How is this rate used by a company? Provided at least 2 examples.
Further, what would cause a company to have a high/lower WACC? Does the type of industry influence the WACC? Provide some examples (at least 2) of factors that would contribute to a high WACC.

Categories
Financial Management

After reading the Treacy and Sims article, follow these four steps to analyze th

After reading the Treacy and Sims article, follow these four steps to analyze the revenues of a company from management’s perspective:
Identify a company that interests you.
Access the company’s online financial statements (10-K Annual Report) via the SEC/Edgar Web site. If you do not have any specific company that interests you, use the Microsoft Corporation’s June 30, 2012 10-K Annual Report found in the Resources.
Review the company’s financial statements, paying close attention to the revenues and any corresponding notes and narratives.
Review the company’s notes, analysis, and narratives that you can find relative to its revenues.
Using the information gathered from these four steps, answer these questions:
Where are the company’s revenues coming from?
How would you interpret this in relation to the company’s identified strategy if you were a manager?
What information do you think that you might have access to, as a manager of the firm, that an outsider would not?
Now look at the same information from a stockholder’s viewpoint. Keep in mind that as a stockholder, you only have access to public documents and answer these questions:
What is your interpretation of the company’s revenues?
Does this make you comfortable with your investment?
Links:
https://www.sec.gov/edgar
https://www.sec.gov/Archives/edgar/data/789019/000119312512316848/d347676d10k.htm

Categories
Financial Management

What are the components of the WACC? How is this rate used by a company? Provid

What are the components of the WACC? How is this rate used by a company? Provided at least 2 examples.
Further, what would cause a company to have a high/lower WACC? Does the type of industry influence the WACC? Provide some examples (at least 2) of factors that would contribute to a high WACC.

Categories
Financial Management

After reading the Treacy and Sims article, follow these four steps to analyze th

After reading the Treacy and Sims article, follow these four steps to analyze the revenues of a company from management’s perspective:
Identify a company that interests you.
Access the company’s online financial statements (10-K Annual Report) via the SEC/Edgar Web site. If you do not have any specific company that interests you, use the Microsoft Corporation’s June 30, 2012 10-K Annual Report found in the Resources.
Review the company’s financial statements, paying close attention to the revenues and any corresponding notes and narratives.
Review the company’s notes, analysis, and narratives that you can find relative to its revenues.
Using the information gathered from these four steps, answer these questions:
Where are the company’s revenues coming from?
How would you interpret this in relation to the company’s identified strategy if you were a manager?
What information do you think that you might have access to, as a manager of the firm, that an outsider would not?
Now look at the same information from a stockholder’s viewpoint. Keep in mind that as a stockholder, you only have access to public documents and answer these questions:
What is your interpretation of the company’s revenues?
Does this make you comfortable with your investment?
Links:
https://www.sec.gov/edgar
https://www.sec.gov/Archives/edgar/data/789019/000119312512316848/d347676d10k.htm

Categories
Financial Management

Answer every question in a minimum of 75 words and use the link provided as a so

Answer every question in a minimum of 75 words and use the link provided as a source. It’ll take you directly to the answer to the question in my textbook.
1. According to our authors, name the four (4) general types of adjustments. Provide examples. LINK: https://open.lib.umn.edu/financialaccounting/chapter/5-1-the-need-for-adjusting-entries/
2. According to our authors, how does an investor differ from a creditor? Provide examples. LINK:https://open.lib.umn.edu/financialaccounting/chapter/3-1-the-construction-of-an-income-statement/
3. According to our authors, how does a business become a corporation? LINK: https://open.lib.umn.edu/financialaccounting/chapter/1-2-incorporation-and-the-trading-of-capital-shares/
4, According to our authors, how is materiality determined?
LINK: https://open.lib.umn.edu/financialaccounting/chapter/2-2-dealing-with-uncertainty/
5. According to our authors, define and explain “asset”. Provide examples.

3.2 Reported Profitability and the Principle of Conservatism


6. According to our authors, why do accountants prepare closing entries? LINK: https://open.lib.umn.edu/financialaccounting/chapter/5-3-preparing-financial-statements-based-on-adjusted-balances/
7. According to our authors, define and describe the responsibilities of a CPA? Provide examples.
LINK: https://open.lib.umn.edu/financialaccounting/chapter/6-2-the-role-of-the-independent-auditor-in-financial-reporting/
8. According to our authors, why would a company that uses a perpetual inventory system still perform a physical inventory count? LINK:https://open.lib.umn.edu/financialaccounting/chapter/9-4-merging-periodic-and-perpetual-inventory-systems-with-a-cost-flow-assumption/
9. According to our authors, what is a corporation? Provide examples. LINK: https://open.lib.umn.edu/financialaccounting/chapter/1-2-incorporation-and-the-trading-of-capital-shares/
10. According to our authors, define and explain “expense.” Provide examples. LINK: https://open.lib.umn.edu/financialaccounting/chapter/3-2-reported-profitability-and-the-principle-of-conservatism/

Categories
Financial Management

Answer every question in a minimum of 75 words and use the link provided as a so

Answer every question in a minimum of 75 words and use the link provided as a source. It’ll take you directly to the answer to the question in my textbook.
1. According to our authors, name the four (4) general types of adjustments. Provide examples. LINK: https://open.lib.umn.edu/financialaccounting/chapter/5-1-the-need-for-adjusting-entries/
2. According to our authors, how does an investor differ from a creditor? Provide examples. LINK:https://open.lib.umn.edu/financialaccounting/chapter/3-1-the-construction-of-an-income-statement/
3. According to our authors, how does a business become a corporation? LINK: https://open.lib.umn.edu/financialaccounting/chapter/1-2-incorporation-and-the-trading-of-capital-shares/
4, According to our authors, how is materiality determined?
LINK: https://open.lib.umn.edu/financialaccounting/chapter/2-2-dealing-with-uncertainty/
5. According to our authors, define and explain “asset”. Provide examples.

3.2 Reported Profitability and the Principle of Conservatism


6. According to our authors, why do accountants prepare closing entries? LINK: https://open.lib.umn.edu/financialaccounting/chapter/5-3-preparing-financial-statements-based-on-adjusted-balances/
7. According to our authors, define and describe the responsibilities of a CPA? Provide examples.
LINK: https://open.lib.umn.edu/financialaccounting/chapter/6-2-the-role-of-the-independent-auditor-in-financial-reporting/
8. According to our authors, why would a company that uses a perpetual inventory system still perform a physical inventory count? LINK:https://open.lib.umn.edu/financialaccounting/chapter/9-4-merging-periodic-and-perpetual-inventory-systems-with-a-cost-flow-assumption/
9. According to our authors, what is a corporation? Provide examples. LINK: https://open.lib.umn.edu/financialaccounting/chapter/1-2-incorporation-and-the-trading-of-capital-shares/
10. According to our authors, define and explain “expense.” Provide examples. LINK: https://open.lib.umn.edu/financialaccounting/chapter/3-2-reported-profitability-and-the-principle-of-conservatism/

Categories
Financial Management

Please Note: This is a 3 part assignment. Part 1 is due Sunday, Part 2 is due in

Please Note: This is a 3 part assignment. Part 1 is due Sunday, Part 2 is due in 2 week, part 3 is due in 5 weeks. I will place each order separately, but will request the same writer for all parts.
PART 1 (This order. Due 2/5/23)
Ratio Analysis
Attached are the financial statements for Smith Company, Inc. Use the financial statements Download financial statementsto calculate the attached ratios. Write 2-4 sentences interpreting the ratio.
Calculate and interpret the following debt ratios: debt ratio, debt-equity ratio, and times interest earned.
Calculate and interpret the following profitability ratios: operating profit margin, net profit margin, return on assets, and return on equity.
The exercise should be 3-4 pages (not including title or reference pages), double spaced, follow the CSU Global Writing CenterLinks to an external site., and include a minimum of four (4) sources with at least 2 from scholarly or peer review journals. See the Module 3 Portfolio Milestone Rubric for full details on how you will be graded on this assignment.
PART 2
Require Return for Capital Funding
Suppose that Smith Company is considering a new project. They are trying to determine the required rate of return for their debt and equity holders. Use these financial statements Download financial statements. Also see the information below:
A 7.5% percent annual coupon bond with 20 years to maturity, selling for 104 percent of par. The bonds make semiannual payments. What is the before tax cost of debt? If the tax rate is 40%, what is the after-tax cost of debt?
The firm’s beta is 1.2. The risk-free rate is 4.0% and the expected market return is 9%. What is the cost of equity using CAPM?
The exercise should be 3-4 pages (not including title or reference pages), double spaced, follow the CSU Global Writing CenterLinks to an external site., and include a minimum of four (4) sources with at least 2 from scholarly or peer review journals. See the Module 5 Portfolio Milestone Rubric for full details on how you will be graded on this assignment.
PART 3
Part A: Ratio Analysis (Week 3 Milestone)
Attached are the financial statements for Smith Company, Inc. Use the financial statements Download financial statementsto calculate the attached ratios. Write a couple of sentences interpreting the ratio. (these will be bullets on your presentation slide).
Calculate and interpret the following debt ratios: debt ratio, debt-equity ratio, and times interest earned.
Calculate and interpret the following profitability ratios: operating profit margin, net profit margin, return on assets, and return on equity.
Part B: Require Return for Capital Funding (Week 5 Milestone)
Suppose that Smith Company is considering a new project. They are trying to determine the required rate of return for their debt and equity holders. See the information below:
A 7.5% percent annual coupon bond with 20 years to maturity, selling for 104 percent of par. The bonds make semiannual payments. What is the before-tax cost of debt? If the tax rate is 40%, what is the after-tax cost of debt?
The firm’s beta is 1.2. The risk-free rate is 4.0% and the expected market return is 9%. What is the cost of equity using CAPM?
Part C: WACC and Capital Budgeting
Calculate the firm’s WACC (using 2018 numbers). (You will need to collect information on the long-term debt and common stock equity from the Balance Sheet. The firm has no preferred stock).
Use the WACC to calculate NPV and evaluate IRR for proposed capital budgeting projects. Assume the projects are mutually exclusive and the firm has the money available to fund the project.
Part D: Analysis
You must offer suggestions to a senior financial manager and CFO on the proposed projects. Be sure to include a discussion of external funding and where it should come from if necessary and which project the firm should undertake. Prepare a presentation, a minimum of one slide for each part, summarizing your results. The calculations can be done either on a word document or using an excel spreadsheet. You will screenshot either the word document or the excel spreadsheet and include them as the images on your PowerPoint slides. Each part (parts A-D) should include the screenshot, brief bulleted information/descriiption, and the minimum 500-word descriiption/explanation in the notes section.
See rubric for specific grading criteria. Be sure to cite sources if applicable. The CSU Global Library is a good place to find your sources. Format your entire presentation according to CSU Global Writing Center Links to an external site..

Categories
Financial Management

Investigate different factors that influence the valuation of equity and in your

Investigate different factors that influence the valuation of equity and in your report assume the CAPM is used to form the Weighted Average Cost of Capital (WACC). Write a research report that outlines the topics –
Determine how diversification is important in the formation of CAPM.
Provide numerical illustrations for CAPM.
Research the validity of CAPM.
Use information technology to complete academic writing and research.
Present written information in a persuasive, organized, clear, and concise manner relying on research, data, and analytics.
Use acceptable paragraph and sentence structure with minimum grammar, punctuation, and spelling errors; and demonstrate appropriate word choice, tone, and format.
Explain and calculate the costs of different capital components—debt, preferred stock, retained earnings, and common stock.
Explain why the weighted average cost of capital (WACC) is used in capital budgeting.