Category: Finance

Find a company that is within the United States. This company will be used in next weeks assignments. Find the last three years of financial statements. Define who the company is, what they do and then forecast the financials for the organization to 2030. What policies would need to change financially? What would be different for cash flow and budget? 

Team Chapter Presentation
Please anwser Chapter 7 question:
7-10. Why Are Stock Prices So Volatile?
please create 1 google slide summarazing why stock prices are so volatile. Use the Chapter 7 file to guide you and create a 1 page paper to explain.
use this to help as well-
7-10Why Are Stock Prices So Volatile?
Recall from Chapter 6 that a typical company’s stock returns are very volatile. Because the average stock’s standard deviation is about 30%, it should not be surprising that many stocks declined by 80% or more during 2018, and some enjoyed gains of over 100%. At the risk of understatement, the stock market is volatile!
To help understand why stock prices are volatile, look at Figure 7-10. Even though the changes in the value drivers were relatively small, the changes in MicroDrive’s intrinsic stock price were very large, with the price ranging from $28.87 to $62.74. This shows that if investors change their expectations regarding future sales growth, operating profitability, capital utilization, or the cost of capital, then the stock price will change. As Figure 7-10 demonstrates, even small changes in the expected value drivers cause large changes in stock prices.
What might cause investors to change their expectations? It could be new information about the company, such as preliminary results for an R&D program, initial sales of a new product, or the discovery of harmful side effects from the use of an existing product. Or new information that will affect many companies could arrive, such as the collapse of the credit markets in 2008. Given the existence of computers and telecommunications networks, new information hits the market on an almost continuous basis, and it causes frequent and sometimes large changes in stock prices. In other words, readily available information causes stock prices to be volatile.
If a stock’s price is stable, this probably means that little new information is arriving. But if you think it’s risky to invest in a volatile stock, imagine how risky it would be to invest in a company that rarely releases new information about its sales or operations. It may be bad to see your stock’s price jump around, but it would be a lot worse to see a stable quoted price most of the time and then to see huge moves on the rare days when new information is released. Fortunately, in our economy timely information is readily available, and evidence suggests that stocks—especially those of large companies—adjust rapidly to new information.

*** Assignment MUST BE plagiarism-free and
without using AI tools. The university uses AI detection tools ** ***
Class Preparation Materials:
·       
Reading: Fundamentals of Corporate Finance (attached)
Chapter 7: “Interest Rates and Bond Valuation”
Chapter 8: “Stock Valuation”
Assignment Description
This assignment includes two parts: 
Part 1 is an evaluation of beta and WACC
Part 2 is the acquisition of data in preparation for a future assignment (CLA 2). 
You need to complete both parts in your three- to five-page, APA-formatted report to demonstrate your comprehensive evaluation of the company’s opportunity cost as well as your skills in retrieving and organizing historical data on securities for the purpose of portfolio formation. 
Part 01
Search Yahoo Finance, or any other credible source to retrieve the most recent income statement and balance sheet for a major leveraged corporation. 
Provide these statements in proper format and include a screenshot of the data. 
Retrieve the data on the company’s historical data and calculate its annual rate of return by using adjusted closing prices for the past 10 years. 
Using the data on the company’s stock rate of return and the index’s rate of return, estimate the beta of the corporation. Compare this value with the value stated by the source. 
Retrieve the risk-free rate of return as the annual interest rate of US treasuries. Based on these values, estimate the expected annual rate of return of the corporation’s security. Compare your estimate with the expected rate of return as evaluated based on your data in Part 2. 
Using the financial statements mentioned above, estimate the annual rate of interest paid by the corporation (cost of debt). 
Additionally, find the tax rate and capitalization ratio (proportions among equity and debt). Using these values, estimate the annual weighted cost of capital (WACC) of the corporation. 
Part 2
This part of the assignment is in preparation for a future assignment (CLA 2). 
Choose five (5) major securities from different industries, one of which can be the one you chose in Part 1 of the question. 
Retrieve the data on the companies’ historical data and calculate annual rate of return for the past 20 years for each security.
*** YOU
MUST ***
–       
Provide
detailed and precise explanations and definitions.
–       
Comment on your findings and provide references for content when necessary. 
–     Explain everything in your own words.
************** IMPORTANT: Only take the
order if you are able to write do it without using any AI tool. My professor is
a AI expert and the University has a AI detector, so the text MUST BE 100%
plagiarism and AI free! **********

Overview
This is the second milestone leading up to your final project. In Final Project Milestone One, you introduced the business you chose. You examined its financial statements and financial health and reported its financial values. In Final Project Milestone Two, you will make calculations based on the latest information found using Mergent Online about your company and compare the totals with those of one year ago. You will then use these figures to decide whether short-term financing is needed to improve your company’s financial health. Before moving forward, review your instructor’s feedback for Milestone One and incorporate any suggestions.
Scenario
The CFO of your company has asked for your support in preparing a report for the business’s board of directors. Many of the board members are new, and some of them have little background in finance. With this in mind, you will need to write a report that all board members can easily understand.
Directions
For the company you chose for your final project, open the following documents:
The balance sheet, income statement, and cash flow statement from the latest fiscal quarter (from Mergent Online)
The Ratios Most Recent Fiscal Qtr worksheet in the Final Project Financial Formulas workbook (linked in the What to Submit section).
example, if the latest fiscal quarter available is the third quarter in 2023, you’ll compare those results to the same financial calculations from the third quarter in 2022.
Use the documents to calculate key financial ratios.
Then open the following documents:
The balance sheet, income statement, and cash flow statement from the same fiscal quarter one year ago
The Ratios Same Fiscal Qtr 1 Year Ago worksheet
Use the documents to calculate the same financial ratios. Finally, compare those ratios and analyze your results.
Specifically, you must address the following rubric criteria:
Financial Calculations. Calculate accurate financial formulas to assess the business’s current financial health. Specifically, calculate the following formulas using the Ratios Most Recent Fiscal Qtr and the Ratios Same Fiscal Qtr 1 Year Ago worksheets in the Final Project Financial Formulas workbook:
Working capital
Current ratio
Debt ratio
Earnings per share
Price and earnings ratio
Total asset turnover ratio
Financial leverage
Net profit margin
Return on assets
Return on equity
Fiscal Quarter Comparison. Summarize the differences between the following:
The results from your financial calculations of the most recent fiscal quarter
The results of the same financial calculations of the same fiscal quarter from one year ago
For example, if the most recent fiscal quarter available is the third quarter in 2023, you’ll compare those results to the same financial calculations from the third quarter in 2022.
Comparison Analysis. Explain what your calculations and comparison show about the business’s current financial health. Give examples to support your explanation for the following questions:
Do the results show the business is financially healthy or unhealthy? Which results indicate this?
What might be the causes of the business’s financial success or failure?
Is more information needed to determine the business’s financial health? If so, which pieces of information might still be needed?
Short-Term Financing. Explain how potential short-term financing sources could help the business raise funds needed to improve its financial health. Base your response on the business’s current financial information.
What to Submit
Your submission should be a 2- to 3-page Word document (not including title and resource pages) with 12-point Times New Roman font, double spacing, and one-inch margins. Include the Balance Sheet and Income Statement from Mergent Online with your submission. All sources should be cited using APA style. You must also use the Final Project Financial Formulas workbook and submit the following worksheets:
The Ratios Most Recent Fiscal Qtr worksheet from the Final Project Financial Formulas workbook
The Ratios Same Fiscal Qtr1 Year Ago worksheet from the Final Project Financial Formulas workbook
Supporting Materials
The following resources can help you complete this milestone:
Video: Mergent Online: Public Company Financials (4:46)
Watch this video from the Shapiro Library to learn more about how to access and use Mergent Online. This video shows information on the As Reported Currency page within the Company Financials tab. For the purposes of this course, however, the best way to see financial data is to click Standardized beneath the Company Financials tab. This will allow you to access the Standardized Annual Balance Sheet.
Shapiro Library FAQ: How Do I Cite a Company Profile From Mergent Online in APA Style?
Use this resource to help answer any questions you have about citing from Mergent Online.

Path A Technical Analysis with Excel
PLUS Final Stage
You are provided with an Excel template for HFFA
already set up for this scenario, to fill in with appropriate Excel formulas to
conduct the Matrix Map analyses.
You also have a pdf KEY for HFFA with the final
answer values shown.
You also have
the complete worked example for Everest Environmentalists INCLUDING FORMULAS
(which is more complicated than this assignment) which I have created for you
(and commented extensively).  
Your task is to fill in all tables in the assignment
template spreadsheet for HFFA with proper Excel formulas to get the answers shown
in the key, AND to recreate the Matrix Map figure yourself using Excel’s
graphing tools on the indicated tab. If you can’t get the right answer in a
cell with your formula after comparing to key and checking the corresponding
cell in the Everest Environmentalists worked example spreadsheet, or if you
have trouble using the graphing tools to create the figure, please ask for help
if you need to.  Since I am providing
the key, I am expecting your template to be fully accurate when turned in.
NOTE: YOU CANNOT GET CREDIT FOR SIMPLY
TYPING IN THE ANSWERS FROM THE KEY INTO THE CELLS OF THE TEMPLATE. YOU MUST
CREATE EXCEL FORMULAS TO GET THE ANSWERS. 
FORMULAS START WITH =. I WILL CHECK, AND IF YOU ONLY ENTERED VALUES AND
NOT FORMULAS YOU WILL NOT GET CREDIT FOR THIS HALF OF THE MATRIX MAP ASSIGNMENT.
Once you have completed that Excel template, move on to the FINAL
STAGE (Word document) described below, which everyone must complete
regardless of path. You will upload two (2) files to the dropbox for this
assignment, the completed Excel template file PLUS the Final Stage Word
document.
you will also need (which are attached) 
Everest Environmentalist Excel Example to help you (all worked) – goes along with the same example covered throughout the text
Healthy Food For All Excel Template (ready for you to fill in; this is your Path A assignment file (also need to complete Final Stage in Word doc per the instructions).
Healthy Food For All PDF KEY (so you can check and fix your template work as you go)
**** AND
(EVERYONE MUST DO) ****
FINAL STAGE – Everyone completes this
in Word
Finally, having completed either Part A or Part B, everyone
must write a narrative based on the Matrix Map for HFFA included in the pdf
Key. Write up the talk you would give the board and CEO about their current
business model as revealed by the Matrix Map AND summarizing your
recommendations for strategy moving forward given the information revealed.
Length should be about 750-1,000 words. Reflect both your understanding of the
readings for Modules 5 and 6, including the Bell, Masaoka and Zimmerman (2010) book
as well as your understanding of the HFFA context described in the scenario
earlier in this document and revealed through the analysis. Communicate as if
you were in fact dealing with your nonprofit leadership audience (professional,
layperson style), not as if you are writing to me (academic style). Write
clearly and professionally but do not condescend or be overly casual. Those who
chose Path A (Excel) will upload this document as a second file along with
their Excel file to the dropbox. Those who chose Path B (Conceptual) can
include the Final Stage as the last part of their Word document, and upload
just that one Word document to the dropbox. No one needs to upload the PDF
key,  I have that already .

Overview
Risk and return go together. You must understand this relationship to make informed financial decisions. This applies when you make personal investment decisions or when you’re investing excess cash for a business. In this journal assignment, you will explore the risk-return relationship when investing in stocks in both of these roles.
Directions
Write a journal discussing risk and return as it relates to investing in stocks.
Specifically, you must address the following rubric criteria:
Investment Risk: Explain key risks associated with investing in stocks.
Investment Return: Discuss events that can cause the price of a stock to increase or decrease.
Risk-Return Relationship: Explain the relationship between risk and return and how this relationship affects stock-investment decisions. Use examples to support your claims.
Reflection: Describe how you would make stock-investment decisions in your:
Personal life: Investing for yourself
Professional life: Investing in a business
What to Submit
Your submission should be a 4- to 5-paragraph Microsoft Word document (not including title and resource pages) with 12-point Times New Roman font, double spacing, and one-inch margins. Sources should be cited using APA style.

Overview
Financial risks are inherent to both individuals and businesses. For individuals, an example of financial risk would be carrying so much personal debt that it is impossible to qualify for a mortgage to buy a home. Similarly, for a business, an example of financial risk is carrying so much debt, or being so heavily leveraged, that the cost of additional debt becomes too high. This would not allow the business to support a new project or venture that could increase sales. In this case study, you will look at different types of risks and explore how these risks impact growth specific to sales, retained earnings, and dividends.
Directions
Go to the Walt Disney Company’s Investor Relations webpage (https://thewaltdisneycompany.com/investor-relations/) Scroll down the page until you see SEC filings. Find and download the quarterly report (Form 10-Q) with the latest filing date. Review the financial statements, and then write a response.
Specifically, you must address the following rubric criteria:
Systematic and Unsystematic Risk: Explain the differences between systematic and unsystematic risk.
Financial Risks: Describe the potential impacts of the following types of financial risk on the Walt Disney Company based on the quarterly report:
Interest rate risk
Economic risk
Credit risk
Operational risk
Lower Growth Impact: Explain the impact that a lower growth in sales could have on the dividend policy and retained earnings for the company based on the quarterly report.
Higher Growth Impact: Explain the impact that a higher growth in sales could have on the dividend policy and retained earnings for the company based on the quarterly report.
What to Submit
Your submission should be a 2- to 3-page Microsoft Word document (not including title and resource pages) with 12-point Times New Roman font, double spacing, and one-inch margins. Sources should be cited using APA style.

IBM and AMAZON
Evaluation of the two companies’ financial statements (Please focus mainly on the primary company for the analysis. You should spend even amount of effort in the analysis for parts a )
a.       Short-term liquidity
I.  Explain the reasons for the above trends.
II.  Compare the trends for the primary and the comparison company.
e.   DuPont analysis-Jessica Salvatierra
I.   Conduct a DuPont analysis to evaluate the primary company’s profitability, asset management efficiency, and its ability to manage its debt. Compare the ratios that make up the extended DuPont equation and explain the trends in the primary company’s ROE.
II.  Compare the ROE of the primary and the comparison company using DuPont analysis.

corporate finance is the course
Note: the Tolling Project background information pdf is written for an in-person group project. For this project, you are going to value a tolling contract on an existing power plant on the PJM interconnection. You are only required to do a discounted cash flow analysis. Start with the ‘General Background Information Link’ under the Tolling Project Assignment. Under ‘General Notes’ please make sure to read number 3. This is important. Under the ‘Data’ heading, there are links for LMP by hour and PNODE. You are to follow the links, you want the ‘‘Total LMP Real Time’ data and you need to sort by PNODEID (Found on the other pdf titled ‘Tolling Assisnment’). You also need the link for Henry Hub (these are historical natural gas spot prices i.e. your basis). The rest of the project information is located on the ‘Tolling Assignment’ pdf under ‘Assignments.’ *As a bonus, you may do a ‘real options’ approach, in that case you may want to read paragraph 2 on the ‘General Background Information’ pdf under the heading ‘Some General Notes’. I will post an example of the Margrabe Parameter Calculation.

Competencies
In this project, you will demonstrate your mastery of the following competencies:
Analyze financial and investment decisions that add value to the organization
Analyze financing options to maximize investor value
Overview
This assignment is the last in the sequence that includes Final Project Milestones One and Two. In Milestone One, you introduced the business you chose. You examined its financial statements and financial health and reported its financial values. In Milestone Two, you made calculations based on the information found using Mergent Online about your company and compared the totals with those of one year ago. You then used those figures to decide whether short-term financing was needed to improve your company’s financial health.
In this final stage of your Final Project, you will use the information you’ve accumulated thus far and make decisions on whether any or all of the following are appropriate directions for your company. Review the assumptions about this company located in the Final Project Financial Assumptions document.
Note: All documents and resources that are needed to complete this assignment are linked in the What to Submit and Supporting Materials sections.
Scenario
The CFO of your company has asked for your support in preparing a report for the business’s board of directors. Many of the board members are new, and some of them have little background in finance. With this in mind, you will need to write a report that all board members can easily understand.
Directions
Specifically, you must address the following rubric criteria:
Financial Analysis: In prior assignments, you calculated some of the financial formulas using quarterly financial statements from your chosen business and the Final Project Financial Formulas worksheet. For the financial analysis, edit prior work based on feedback and include it in this final project.
Financial Calculations: Accurately calculate financial formulas to figure out the business’s current financial health. You must calculate the following:
Working capital
Current ratio
Debt ratio
Earnings per share
Price and earnings ratio
Total asset turnover ratio
Financial leverage
Net profit margin
Return on assets
Return on equity
Working Capital Management: Explain the impact of working capital management on a typical business’s operations. Provide examples to support your claims.
Why is it important for a business in general to carefully manage its working capital?
Financing: Explain the options available for a company in general to finance its operations and expansion.
Short-Term Financing: Explain how potential short-term financing sources could help any business raise funds for improving its financial health.
Bond Investment: Discuss the risks and benefits of any business investing in a corporate bond. Include the necessary ethical factors, appropriate calculations, and examples to support your analysis.
Capital Equipment: Discuss the risks and benefits of any business investing in capital equipment. Include the necessary ethical factors, appropriate calculations, and examples to support your analysis.
Building: Discuss the risks and benefits of any business investing in a building, including leasing substantive physical assets like buildings. Include the necessary ethical factors, appropriate calculations, and examples to support your analysis.
Financial Evaluation: In this step, you will use the knowledge you’ve accumulated thus far and make decisions on whether any or all of the following are appropriate directions for your chosen company. Assume that the situations located in the Final Project Financial Assumptions document are true of your chosen company. For each of the options below, include the necessary ethical factors, appropriate calculations, and examples from previous milestones to support your analysis. Based on your company’s financial health, you should consider:
Bond Investment: Determine if the bond investment is a good financing option for your chosen business’s financial health. Use your financial analysis and other financial information to support your claims.
Capital Equipment: Determine if the capital equipment investment is a good financing option for your chosen business’s financial health. Use your financial analysis and other financial information to support your claims.
Building: Determine if the building investment is a good financing option for your chosen business’s financial health. Use your financial analysis and other financial information to support your claims.
Future Financial Considerations: Describe your chosen business’s likely future financial performance. Base your description on the business’s current financial well-being and risk levels. This time, do not consider the assumptions in the Final Project Financial Assumptions document. Use your chosen company’s most current financial information to support your claims.
Milestones
Milestone One:
In Module Two, you will submit a short paper that introduces your chosen company and summarizes the results of the company’s latest balance statement, income statement, and cash flow statement. This milestone will be graded with the Final Project Milestone One Rubric.
Milestone Two:
In Module Five, you will submit a short paper that compares your chosen company’s latest status with the values of one year ago. You will use this information to decide whether short-term financing can help improve your company’s financial health. This milestone will be graded with the Final Project Milestone Two Rubric.
Final Submission:
In Module Seven, you will submit a short paper that describes whether your chosen company should make specific investments based on its financial health. It should be a complete, polished artifact containing all of the critical elements of the final product. It should reflect the incorporation of feedback gained throughout the course. This submission will be graded with the Final Project Rubric.
What to Submit
To complete this project, you must submit the following:
Financial Analysis Report
Submit your completed Final Project Financial Analysis Report.
All sources should be cited according to APA style. This includes sources listed in your Final Project Financial Formulas workbook. Consult the Shapiro Library APA Style Guide for more information on citations.
Workbook: Final Project Financial Formulas
Use this Microsoft Excel workbook to complete your calculations for the project. You should have already completed the Ratios worksheets for your Final Project Milestone Two assignment. Check your instructor’s feedback on Final Project Milestone Two and incorporate any necessary changes.