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Part III Prompt The results of both sections of your employment examination have finally been received, and you were offered the position. You have a

Part III Prompt

The results of both sections of your employment examination have finally been received, and you were offered the position. You have a few important decisions to make before you can formally accept or decline the position. When composing your answers to these decisions, ensure that they are cohesive and read like a short essay.

Your submission must address the following critical elements:

I. School Versus Work

  • The school you would like to attend costs $100,000. To help finance your education, you need to choose whether or not to sell your 1,000 shares of Apple stock, 1,000 EE Savings Bonds (with $100 denominations and 4.25% coupon rate) that are five years from their 30-year maturity date, or a combination of both. Provide the appropriate data and calculations that you would perform to make this decision.
  • What are the advantages and disadvantages of selling a combination of stocks and bonds? Be sure to support your answers.
  • Suppose that you choose to sell your stocks, bonds, or a combination of both. What is your choice, and what is your financial reasoning behind this choice? Consider supporting your answer with quantitative data.
  • Supposethatyouchoosetoacceptthejob.Whatisyourfinancialreasoningbehindthischoice?Besuretosupportyouranswerwithquantitativedata.

II. Bonus Versus Stock

The company has offered you a $5,000 bonus, which you may receive today, or 100 shares of the companys stock, which has a current stock price of $50 per share. Mathematically, what is the best choice? Why?

What are the advantages and disadvantages of each option? Be sure to support your answers.

  • What would you ultimately choose to do? What is your financial reasoning behind this choice? Consider supporting your answer with quantitative data.

III. Compliance

While investigating the shares offered to you by your potential boss, you discover that the company you are considering working for is not registered as required under the Securities Act of 1933. How does this influence you as a potential employee and as a potential shareholder? Be sure to reference any applicable statutes or laws.

You know that accepting this job may eventually lead to a promotion into the role of the financial manager. As the potential financial manager, what federal and shareholder requirements would you need to be familiar with in order to ensure that you are being completely compliant?

Guidelines for Submission: Please ensure that your decision plan is submitted as one comprehensive and cohesive short essay. It should use double spacing, 12- point Times New Roman font, and one-inch margins. Citations should be formatted according to APA style.

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