Evaluation of Corporate Performance
The Final Paper 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 this .moneychimp.com/articles/financials/fundamentals.htm”>handy guide (Links to an external site.)Links to an external site. 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
- Debt
- Per-Share
- Measures of relative value (P/E, P/B)
- Activity
- Cash Flow
- 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. - Evaluate the financial risks associated with operating
internationally. If your chosen company does not operate
internationally, evaluate what the financial risks could be if they were
to expand internationally.
The paper
- Must be eight to ten double-spaced pages in length (not including
title and references pages) and formatted according to APA style as
outlined in the .ashford.edu/index.html”>Ashford Writing Center (Links to an external site.)Links to an external site.. - Must include a separate title page with the following:
- Title of paper
- Student’s name
- Course name and number
- Instructor’s name
- Date submitted
- Must begin with an introductory paragraph that has a succinct thesis statement.
- Must address the topic of the paper with critical thought.
- Must end with a conclusion that reaffirms your thesis.
- Must use at least five scholarly sources, such as the textbook,
industry reports, and articles from the Ashford University library to
support your findings and recommendations. - Must document all sources in APA style as outlined in the Ashford Writing Center.
- Must include a separate references page that is formatted according to APA style as outlined in the Ashford Writing Center.
Carefully review the .waypointoutcomes.com/assessment/17800/preview”>Grading Rubric (Links to an external site.)Links to an external site. for the criteria that will be used to evaluate your assignment.





