Evaluation of Corporate Performance
This Paper will involve applying an analysis of a Apple Inc. using data from its annual report. You will analyze the strengths and weaknesses of Apple Inc. and write a report either recommending or not recommending purchase of the company stock.
The completed report should include:
• An introduction to the company, including background information.
• A complete and thorough financial statement review.
• Pro Forma financial statements (Balance Sheet and Income Statement) for the next fiscal year, assuming a 10 percent growth rate in sales and Cost of Goods Sold (COGS) for the next year.
• Complete ratio analysis for the last fiscal year using at least two ratios from each of the following categories:
• Liquidity
• Financial leverage
• Asset management
• Profitability
• Market value
• Debt
• Per-Share
• Measures of relative value (P/E, P/B)
• Activity
• Cash Flow
• A calculation of Return on Equity (ROE) using the DuPont system.
• Assessment of management performance by calculating Economic Value Added (EVA).
• A synopsis of your findings, including your recommendations and rationale for whether or not to purchase stock from this company.
• Evaluate the financial risks associated with operating internationally. If your company does not operate internationally, evaluate what the financial risks could be if they were to expand internationally.
The paper
• Must be eight to ten double-spaced pages in length (not including title and references pages) and formatted according to APA style.
• Must begin with an introductory paragraph that has a succinct thesis statement.
• Must address the topic of the paper with critical thought.
• Must end with a conclusion that reaffirms your thesis.
• Must use at least five scholarly sources, such as industry reports, and articles to support your findings and recommendations.
• Must document all sources in APA style.
• Must include a separate references page that is formatted according to APA style.