Final Project- Perform Financial Statement Analysis

Weight 15% of the final grade

Due no later than 11:00 p.m. on Sunday of Unit 10

Description

Based on the information obtained from the two companies' income statements as well as the background information, you are to compare the performance of the two companies using financial statement analysis. Begin with performing the horizonal analysis, the vertical analysis

and the ratio analysis. Discuss any other issues that you believe are relevant to the investment decision and make a recommendation to Big Spenders Inc. for whether your target would be a good investment.

Big Spenders Inc. would likely be a long-term client of FINACC LLP if you could once again gain their trust from this project. The Manager would like you to prepare the final report and trust that your analysis will be thorough and complete as always.

Evaluation and Feedback

Competencies Demonstrated % of Total Grade

1. Identification and Analysis of Issues (80%)

a. Company backgrounds, financial statement

information, stock prices 30%

b. Horizontal analyais 15%

c. Vertical analysis 15%

d. Ratio Analysis 20%

2. Recommendation (20%)

a. Provides appropriate recommendation given the

facts and analysis completed 20%