Homework: Amazon's Financial Returns and Capital Constraints
Be sure to review the instructor mentorship video for this homework in the gradebook and note the specific feedback provided by your instructor/mentor prior to beginning your revisions for this homework. Review the elements from the textbook.You may also revisit the required the Adaptive Coach materials as necessary. You may review the full set of requirements for the final project in order to see how this fits into the finished report.
In order to be successful, companies must leverage their spending in ways that will add to their value and propel them in the marketplace. In this portion of your report you will use the skills and content you mastered in your Adaptive Coach this week, to 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.
1. Formulate the expected financial returns and associated risks by completing the following calculations.
a. Calculate the Return on Equity (ROE) using the DuPont system.
b. Calculate the Constant Growth Stock Valuation (CGSV) and compare it to the current stock price.
2. 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 homework according to the give formatting requirements:
1. The answer must be double spaced, typed, 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 homework, the course title, the student's name, and the date. The cover page is not included in the required page length.
3. Also include a reference page. The references and Citations should follow APA format. The reference page is not included in the required page length.