Assignment 1: Chapter 2 Mini Case – “Financial Statement and Cash Flow Analysis”

Assignment 1: Chapter 2 Mini Case – “Financial Statement and Cash Flow Analysis”

(Due Week 4 and worth 320 points)

You are to write a six to ten (6-10) page report that responds to the following:

Part A:

Use the financial statements in the text to determine the following for Jaeden Industries.

1. Calculate Jaedan’s free cash flow (please show your work – equations and numbers).

2. Calculate Jaedan’s liquidity (please show your work – equations and numbers).

3. Calculate Jaedan’s debt and profitability ratios (please show your work – equations and numbers).

4. Calculate Jaedan’s market ratios (please show your work – equations and numbers).

Part B:

Based on your analysis:

5. Highlight at least three financial strengths and three weaknesses Jaeden Industries may have.

6. Provide recommendations along with rationale on how Jaeden’s management may improve upon these weaknesses.

The format of the report is to be as follows:

 Typed, double spaced, Times New Roman font (size 12), one inch margins on all sides, APA format.

 Use headers for each of the subjects being covered, followed by your response.

 In addition to the six to ten (6-10) pages required, a title page and a references page are to be included. The title page is to contain the title of the assignment, your name, the instructor’s name, the course title, and the date.

 Use at least three (3) quality references. Note: Wikipedia and other Websites do not qualify as academic resources.

The specific course learning outcomes associated with this assignment are:

• Evaluate applications of financial management for the financial manager.

• Formulate approaches to current asset management, capital budgeting, financial structure, dividend policy, long-term financing, and mergers.

• Analyze approaches to current asset management, capital budgeting, financial structure, dividend policy, long-term financing, and mergers.

• Use technology and information resources to research issues in financial management.

In your report, you need to support your answers with at least 3 credible resources and cite them using the APA style. Failure in including references or following the APA style will cost you some grade points. I have prepared an APA template (to be posted in the week-4 area at the Blackboard site and emailed to you) for you to use. Hopefully it could be helpful.

I have made “Turn It In” available to you, and you need to submit your writing to check for plagiarism before you submit it to me. You can log in the Web site at https://www.turnitin.com/newuser_type.asp and use class ID: 8183068 and the password is fin405sum14p. You will earn zero grade point if you do not submit your assignment to “Turn It In” to check for plagiarism before you upload it to the Blackboard course shell.