You are the accounting advisor to a firm that wishes to invest $100 million into a company. Your project is to come up with an accounting evaluation using the ratios on the previous tab. Your analysis, in the form of a Memo to me, should look at least five years (2016-2020) worth of data, and include both long term and short term views of the companies. At the end of the analysis, I want you to explain why your company is a good choice to invest in. You are also to prepare a PowerPoint outlying your data and decision made in the Memo, and voice record your presentation on the PowerPoint. This spreadsheet is due to me on November 16, 2020, at the beginning of class. Grading Guide for Project 1 Points Actual 35 Ratios 1/4 point for each correct ratios/info 1 point for answering questions below ratios/info Formatting/style/spelling/presentation 15 | 5 55 0 Memo The memo covers the following: 15 18 2 - Analysis of ratios/info supporting the decision - The Memo is logical, flows and reviews the major points - Answer the question, should I invest in your company? - Formatting or layout and graphic are pleasing to the eye (fonts, colors, spacing) - Rules of grammar, punctuation and usage. Memo 10 5 50 50 PowerPoint (No audio is an automatic 5 point deduction) Total 155 NOTES: 1. All calculations to be performed on the Data and Ratio tab as marked. 2. Do not change the font, add shading or change the spreadsheets in any way except to add the numbers and formulas. 3. All work must be shown except for the Earnings per Share (EPS), stock and dividend prices which can be entered directly into the spreadsheet 4. Only this spreadsheet to be used. Any other spreadsheet turned in other than this template will result in a -- for the Financial portion of the project. Your Company Name 2020 2019 2018 2017 2016 Current Assets Net Fixed Assets Total Assets Current Liabilities Total Liabilities Common Stockholders' Equity Net Sales Cost of Goods Sold Gross Income Net Income Income Taxes Interest Expense Cash Provided by Operating Activities Capital Expenditures Cash Dividends Current Ratio Debt Ratio Times Interest Earned Gross Profit Margin Fixed Asset Turnover Total Assets Turnover Return on Equity Price Earnings Ratio Earnings per share (EPS) Free Cash Flow Stock Price at 12/31 of each year. Dividends per year per share Rate of Return on your investment each year Analysis: Why your company is in good shape financially 1 2 3 4 5 Analysis: Why your company is not in good shape financially 1 2 3 4 5 Analysis: What your company needs to improve on: 1 2 3 4 5 You are the accounting advisor to a firm that wishes to invest $100 million into a company. Your project is to come up with an accounting evaluation using the ratios on the previous tab. Your analysis, in the form of a Memo to me, should look at least five years (2016-2020) worth of data, and include both long term and short term views of the companies. At the end of the analysis, I want you to explain why your company is a good choice to invest in. You are also to prepare a PowerPoint outlying your data and decision made in the Memo, and voice record your presentation on the PowerPoint. This spreadsheet is due to me on November 16, 2020, at the beginning of class. Grading Guide for Project 1 Points Actual 35 Ratios 1/4 point for each correct ratios/info 1 point for answering questions below ratios/info Formatting/style/spelling/presentation 15 | 5 55 0 Memo The memo covers the following: 15 18 2 - Analysis of ratios/info supporting the decision - The Memo is logical, flows and reviews the major points - Answer the question, should I invest in your company? - Formatting or layout and graphic are pleasing to the eye (fonts, colors, spacing) - Rules of grammar, punctuation and usage. Memo 10 5 50 50 PowerPoint (No audio is an automatic 5 point deduction) Total 155 NOTES: 1. All calculations to be performed on the Data and Ratio tab as marked. 2. Do not change the font, add shading or change the spreadsheets in any way except to add the numbers and formulas. 3. All work must be shown except for the Earnings per Share (EPS), stock and dividend prices which can be entered directly into the spreadsheet 4. Only this spreadsheet to be used. Any other spreadsheet turned in other than this template will result in a -- for the Financial portion of the project. Your Company Name 2020 2019 2018 2017 2016 Current Assets Net Fixed Assets Total Assets Current Liabilities Total Liabilities Common Stockholders' Equity Net Sales Cost of Goods Sold Gross Income Net Income Income Taxes Interest Expense Cash Provided by Operating Activities Capital Expenditures Cash Dividends Current Ratio Debt Ratio Times Interest Earned Gross Profit Margin Fixed Asset Turnover Total Assets Turnover Return on Equity Price Earnings Ratio Earnings per share (EPS) Free Cash Flow Stock Price at 12/31 of each year. Dividends per year per share Rate of Return on your investment each year Analysis: Why your company is in good shape financially 1 2 3 4 5 Analysis: Why your company is not in good shape financially 1 2 3 4 5 Analysis: What your company needs to improve on: 1 2 3 4 5
