Assignment
1. Analyzing financial statements involves the comparison of a firm's performance with that of other firms in the same industry. It also involves the evaluation of trends in the firm's financial position over time. Discuss how three steps in a good financial statement analysis would be necessary for a new firm.
2. a. Define free cash flow and explain its uses in a company;
b. Explain: i) Market Value Added (MVA); ii) Economic Value Added (EVA)
3. Discuss three of the following statements in a financial statement and report:
A) Balance Sheet;
B) Income Statement;
C) Statement of Retained Earnings;
D) Statement of Cash Flows.
4. A. Define free cash flow and explain its uses in a company; B. Explain how a company embarks on proper cash flow analysis.
5. A. Explain in detail the relationship between risk and return. B. Discuss what distinguishes a stand-alone risk from a portfolio risk. Explain: i) expected rate of return; ii) probability; iii) diversifiable risk; iv) market risk.
Format your assignment according to the following formatting requirements:
1. The answer should be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also includes a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.
3. Also include a reference page. The Citations and references should follow APA format. The reference page is not included in the required page length.