Evaluation of Corporate Performance
The Final Project will involve applying the concepts learned
in class to an analysis of a company using data from its annual report. Using
the concepts from this course, you will analyze the strengths and weaknesses of
the company and write a report either recommending or not recommending purchase
of the company stock.
Research Tip: The “Mergent” database in the Ashford
University Library contains company profiles and financial information for
publicly traded companies and their competitors. To access this database
enter the Ashford Library and select “Find Articles and More” in the top menu
panel. Next, select “Databases A-Z” and go to section “M” for “Mergent”. For
help with using Mergent, use Mergent Online Quick Tips.
For help with reading an annual report access thishandy guide from Money Chimp.
The completed report should include:
- An introduction to the company,
including background information. - A complete and thorough
financial statement review. - Pro Forma financial statements
(Balance Sheet and Income Statement) for the next fiscal year, assuming a
10 percent growth rate in sales and Cost of Goods Sold (COGS) for the next
year. - Complete ratio analysis for the
last fiscal year using at least two ratios from each of the following
categories: - Liquidity
- Financial leverage
- Asset management
- Profitability
- Market value
- A calculation of Return on
Equity (ROE) using the DuPont system. - Assessment of management
performance by calculating Economic Value Added (EVA). - A synopsis of your findings,
including your recommendations and rationale for whether or not to
purchase stock from this company.
This report should be eight to ten pages long (excluding title page and
reference pages) using APA 6th edition formatting guidelines. Support your
findings and recommendations with evidence from at least five scholarly
resources, such as the textbook, industry reports, and articles from the
Ashford University library.
Writing the Final Paper
The Final Paper:
- Must be eight to ten
double-spaced pages in length and formatted according to APA style as
outlined in the approved APA style guide. - Must include a cover page that
includes: - Title of paper
- Student’s name
- Course name and number
- Instructor’s name
- Date submitted
- Must include an introductory
paragraph with a succinct thesis statement. - Must address the topic of the
paper with critical thought. - Must conclude with a restatement
of the thesis and a conclusion paragraph. - Must use at least five
scholarly resources from the Ashford University Library. - Must document all sources in
APA style, as outlined in the approved APA style guide. - Must include a separate
reference page, formatted according to APA style as outlined in the
Ashford Writing Center.
