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I'm doing deluxe corporation case study. and these are my questions 1.What are the risks associated with Deluxes business and strategy? What financing requirements do

I'm doing deluxe corporation case study. and these are my questions

1.What are the risks associated with Deluxes business and strategy? What financing requirements do you foresee for the firm in the coming years?

2.What are the main objectives of the financial policy that Rajat Singh must recommend to Deluxe Corporations board of directors?

3.Drawing on the financial ratios in case Exhibit 6, how much debt could Deluxe borrow at each rating level? What capitalization ratios would result from the borrowings implied by each rating category?

4.Using Hudson Bancorps estimates of the costs of debt and equity in case Exhibit 8, which rating category has the lowest overall cost of funds? Do you agree with Hudson Bancorps view that equity investors are indifferent to the increases in financial risk across the investment-grade debt categories?

5.Is Deluxes current debt level appropriate? Why or why not?

6.What should Singh recommend regarding:

  • the target bond rating
  • the level of flexibility or reserves
  • themixofdebtandequity

Help me with the answers.

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