Company is TESLA

1. NPV: Take the market capitalization value from the internet and use it as Co (initial investment value) adjusted for per share value. Then show a table projecting future 10 years cash flows (from part#4 but use EPS). Calculate the NPV of the company using WACC as discount rate. Give your accept/reject decision and analyze your answer.

(12 marks)

2. LEVERAGE ANALYSIS: Based on the balance sheet of the company, calculate TWO solvency ratios and analyze the capital structure. Give your recommendation.

(12 marks)

3. STANDARD DEVIATION: From the internet get the last 10 days (most recent) of your companys stock price data (closing prices). Copy and paste the price data on excel spreadsheet and label it correctly with dates and prices. Use this data to calculate the mean (expected return) and standard deviation (risk) of the stock (you can use data analysis function in excel and perform descriptive analysis as a choice). Copy and paste the price data from excel to show this data on this page and analyze your answers in terms of risk implications.

(12 marks)

4. CRITICAL ANALYSIS: Go to yahoofinance.com and find a 3 month chart of the Dow Jones 30 (i.e. Dow) index. Copy and paste the chart in the answer. Then go to tradingeconomics.com and get a USA interest rate chart for last 1 year and copy and paste the chart next to the Dow chart here. Now critically summarize and analyze (<1>

(16 marks)