Assignment: Financial Returns and Capital Constraints
Analyze the business conditions and begin to create the big financial picture of how the chosen company is spending their money and managing their investments in the future value of their organization through purchases and research and development.
Include the following content in this section.
I. Formulate the expected financial returns and associated risks by completing the following calculations.
i. Calculate the Return on Equity (ROE) using the DuPont system.
ii. Calculate the Constant Growth Stock Valuation (CGSV) and compare it to the current stock price.
II. Research your company's industry and evaluate what type(s) of capital constraints your company must consider in order to be competitive in the market. Explain the appropriate financial techniques that would be used in this evaluation.
Format your assignment according to the following formatting requirements:
i) The answer should be typed, using Times New Roman font (size 12), double spaced, with one-inch margins on all sides.
ii) 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.
iii) Also include a reference page. The Citations and references must follow APA format. The reference page is not included in the required page length.