Overview: Corporate financial managers must have a business-wide perspective

Overview: Corporate financial managers must have a business-wide perspective to successfully navigate the corporate environment. The skills you develop in
this course will support you in your future business career as well as set the conceptual foundation for the future courses in your program. Your final project for
FIN 330 will allow you to showcase your mastery of the varied skills a finance professional must obtain by requiring you to analyze a real-world corporation from
a quantitative perspective while also investigating the challenges and decisions a manager must face.
In this milestone, you will continue to work on elements of Final Project I, the corporation valuation report.
Prompt: This milestone requires you to write a draft of the Capital Structure and Valuation sections (Sections III and IV) of Final Project I, the corporate valuation
report. In this assignment, you will use the same corporation you focused on in Milestone One to expand upon the capital structure of the organization and the
valuation of the corporation through forecasting.
Specifically, the following critical elements must be addressed in this milestone:
III. Capital Structure: In the third section of your report, discuss the capital structure of the corporation.
A. Outline the most recent year’s debt, equity, and total capital using the provided Excel template to show the overall capital structure of the
corporation. Please note: to complete this, you will use the same template you used in support of Milestone One, but this time you will be
completing the “Capital Structure” tab.
B. Articulate the corporation’s dividend policy and what impact it has on the investors.
C. Analyze the relationship between capital structure, cost of capital, and risk, using examples from your chosen organization.
D. Explain how the relationship between capital structure, cost of capital, and risk can help inform decision making and maximize corporate value.
IV. Valuation: The final section of your report will focus on calculating current value, outlining assumptions, and estimating the future value of the
corporation through forecasting the cash flows. Specifically, respond to the following:
A. Calculate the current market value of equity for your corporation, using the three-year history and provided Excel template, and explain what it
means for the corporation. You will submit this template along with your report, and may embed pieces of the Excel template into your report to
help support your work in this section. Please note: this is the same template you used in support of Milestone One, but this time you will be
completing the “Valuation” tab.
B. Outline any assumptions you have made in calculating the current value and estimating the future value of the corporation, explaining why you
made them and why they are important. (Hint: Assumptions can include growth rates, margins, trends, etc.)
C. Estimate the current value of your corporation by forecasting the cash flows over five years using the provided Excel template, and explain your
findings. Calculate EVA, NPV, IRR and MIRR.
Guidelines for Submission: Your submission should be 3–4 pages in length, not including the Excel template you use to address sections IV.A and IV.C, above.
The written submission should use 12-point Times New Roman font, double spacing, one-inch margins, and APA formatting. Be sure to submit both your written
response and the completed Excel template when submitting this assignment. Any citations should follow APA guidelines.
Critical Elements Proficient (100%) Needs Improvement (80%) Not Evident (0%) Value
Capital Structure:
Overall
Accurately outlines the most recent year’s debt, equity, and total capital using the
provided template to show the overall capital structure of the corporation
Outlines the most recent year’s debt, equity, and total capital using the provided
template, but with gaps in accuracy
Does not outline the most recent year’s  debt, equity, and total capital using the provided template
15
Capital Structure:
Dividend Policy
Accurately articulates the corporation’s
dividend policy and the impact it has on
investors
Articulates the corporation’s dividend policy
and its impact on investors, but does so
inaccurately or with gaps in details
Does not articulate the corporation’s
dividend policy and its impact on investors
15
Capital Structure:
Relationship
Accurately analyzes the relationship between capital structure, cost of capital, and risk, using examples to highlight claims
Analyzes the relationship between capital structure, cost of capital, and risk, but lacks
accuracy or does not use examples that highlight claims
Does not analyze the relationship between  capital structure, cost of capital, and risk
15
Capital Structure:
Maximize Value
Accurately explains how the relationship
between capital structure, cost of capital,
and risk should inform corporate decision
making and maximize corporate value
Explains how the relationship between
capital structure, cost of capital, and risk
should inform corporate decision making
and maximize corporate value, but lacks
accuracy or necessary detail
Does not explain how the relationship
between capital structure, cost of capital,
and risk should inform corporate decision
making and maximize corporate value
15
Valuation: Current
Value
Accurately calculates the current market
value of the chosen corporation using the
three-year history and provided Excel
template, explaining findings in the report
Calculates the current market value of the
chosen corporation using the three-year
history and provided Excel template,
explaining findings in the report, but lacks
accuracy in calculations or lacks detail in
explanation of findings
Does not calculate the current market value
of the corporation or does not explain
findings in the report
12
Valuation:
Assumptions
Clearly outlines reasonable assumptions,
explaining why the assumptions were made
and why they matter
Outlines assumptions, explaining why the
assumptions were made and why they
matter, but with gaps in clarity or reason
Does not outline assumptions or explain why
they were made and why they matter
12
Valuation: Estimate Logically estimates the current value of the
corporation through five-year cash flow
forecasting using the provided Excel
template
Estimates the current value of the
corporation through five-year cash flow
forecasting using the provided Excel
template, but with gaps in logic or accuracy
of calculations
Does not estimate the current value of the
corporation through five-year cash-flow
forecasting using the Excel template
12
Articulation of
Response
Submission has no major errors related to
citations, grammar, spelling, syntax, or
organization
Submission has major errors related to
citations, grammar, spelling, syntax, or
organization that negatively impact
readability and articulation of main ideas
Submission has critical errors related to
citations, grammar, spelling, syntax, or
organization that prevent understanding of
ideas
4
Total 100%