As a team, select an industry to analyze. Each group member should acquire the annual report or 10-K for one publicly traded company in the industry, with each member selecting a different company.

(Library files, the SEC EDGAR service at . Compustat CD. and the company itself are good sources.) On an individual basis, each team member should then write a short report answering the following questions about his or her selected company. 1. Review the types of bonds issued by the company. Do you observe any unusual features

? 2. Compute and analyze the debt-to-equity and times interest earned ratios. 3. Review the statement of cash flows. Has the company either issued or repaid money associated with a bond? If so. can you determine the reason? 4. Has the company issued bonds denominated in a foreign currency? Can you determine why? 5. Were bonds issued at either a premium or a discount If so, does the compam use the straightline or effective-interest amortization method?

Discuss any patterns across the companies that you as a team observe. Then, as a team, write a short report comparing and contrasting your companies using these attributes. Provide potential explanations for any differences discovered.