We have until friday morning to do this assignment, can someone help us.

Affix Date Stamp Here FNCE2003 - Managerial Finance SEM 2, 2016 ASSIGNMENT COVER SHEET Name: Student ID Name: Student ID Name: Student ID Name: Student ID Name: Student ID (If the given name by which your tutor knows you, differs from your name on University records, please indicate BOTH names) Unit Name & Number: __________ _______________________________ Tutor: Day & Time of Tutorial: Your assignment requirements. should meet the following Please confirm this (by ticking boxes) before submitting your assignment. Date Stamp affixed above Pages have been consecutively numbered and identified A copy of the assignment has been retained by me Declaration below is complete Declaration Except where we have indicated, the work we are submitting in this assignment is our own work and has not been submitted for assessment in another Unit or course. We warrant that our group members contributed equally for the assignment ___________________________________________________________________ (Signature of students) Question 1 (3+2 = 5 points) The following numbers are extracted from the annual report of Omega Limited (in millions of dollars). [3] Total assets Total liabilities Total revenues Common share issues Common dividends Common stock repurchase Fiscal 2015 19,042 12,826 13,652 1,133 530 1,385 Fiscal 2014 18,184 12,865 12,442 504 505 1,385 The firm has no preferred stock. (a) For fiscal 2015, calculate the comprehensive income. (b) The shares of Omega was traded at $12.90 per share at the beginning of fiscal year 2015 and closed at $9.85 per share at the end of the year. This firm paid a dividend of $13.5 cents per share during the year. What was the return ($) to holding Omega's shares during 2015? What is the rate of return on investment? [2] Question 2 (10 points) Assume that you are interested to evaluate the stock of Woolworths Limited. Use your Curtin University Student ID and Password and go to Morningstar DatAnalysis Premium (http://datanalysis.morningstar.com.au.dbgw.lis.curtin.edu.au/af/dathome?xtmlicensee=datpremium). (a) List three comparable firms for Woolworths. Justify the inclusion of these companies in your list. [2] (b) Calculate P/E ratio and P/B ratio of the all the companies in your list (use fiscal year end data of 2015. You can get the annual report either from the Morningstar DatAnalysis Premium or from company website or from google search. Please use share price data as on 19th September 2016). [2] (c) Based on your calculation and comparison, would you recommend to buy share of Woolworths? [2] (d) Observe the stock price movement of all your listed firms over the last three months. You are doing your analysis on 19th September 2016. Based on the observed price trend, use price screens analysis (covered in Week 2) to decide whether and which share to buy? Justify your decision. [2] (e) In reference to the above question (i.e., d) what will be your decision if you use Momentum screens? [2] Note: You may use other sources of data (in addition to/instead of Morningstar). Question 3 (5 points) The following table presents financial data from 2014 annual reports of six pharmaceuticals companies. The market value of equity for five companies is also given. All numbers are in millions of dollars. Using these numbers estimate a value for Syham Inc. Syham had a book value of $1,349 million in 2014. Company Acme Lab Aid Square Aus Pharma Genetic Inst. Syham Inc. Market value Price/Book of equity $8,096.71 1,379.00 2,233.60 925.00 588.53 ? Revenue 5.6 3.6 4.6 2.5 4.5 ? $1,571.0 152.0 413.0 138.0 151.0 795.4 R&D Net Income $307.0 101.0 158.0 109.0 81.0 314.3 $406.0 15.0 28.0 7.0 34.0 124.4 Question 4 (5 points) Maxim Inc. reported a per-share book value of $10.47 in its balance sheet on December 31, 2014. In early 2015, analysts were forecasting consensus earnings per share of $1.71 for 2015 and 1.96 for 2016. Assume a dividend payout ratio of 50% and required rate of return of 10%. (a) Calculate the per share value in early 2015 assuming that residual earnings will grow at long-term growth rate of 4%, the average GDP growth rate, after 2016. [3] (b) Maxim Inc. was traded at $36 per share in early 2015. What is the forecast of the residual earnings growth rate after 2016 that is implied in the stock price of $36? [2] Question 5 (1+2+2 = 5 points) (a) A firm reported $405 million in revenue and an increase in net receivables of $32 million. What was the cash generated by the revenues? [1] (b) A firm reported wages expense of $335 million and cash paid for wages of $290 million. What was the change in wages payable for the period? [2] (c) A firm reported net property, plant, and equipment (PPE) of $873 million at the beginning of the year and $923 million at the end of the year. Depreciation on the PPE was $131 million for the year. There were no disposals of PPE. How much new investment in PPE was there during the year? [2]