Write a five- to seven-page financial statement analysis of a public company, formatted according to APA style as outlined in the Ashford Writing Center. In this analysis, you will discuss the financial health of this company with the ultimate goal of making a recommendation to other investors. Your paper should consist of the following sections: introduction, company overview, horizontal analysis, ratio analysis, final recommendation, and conclusions. Your paper needs to include a minimum of two scholarly resources in addition to the textbook as references.
Here is a breakdown of the sections within the body of the assignment:
Company Overview
Provide a brief overview of your company (one to two paragraphs at most). What industry is it in? What are its main products or services? Who are its competitors?
Horizontal Analysis of Income Statement and Balance Sheet
Prepare a three-year, horizontal analysis of the income statement and balance sheet of your selected company. Discuss the importance and meaning of horizontal analysis. Discuss both the positive and negative trends presented in your company.
Ratio Analysis
Calculate the current ratio, quick ratio, cash to current liabilities ratio, over a two-year period. Discuss and interpret the ratios that you calculated. Discuss potential liquidity issues based on your calculations of the current and quick ratios. Are there any factors that could be erroneously influencing the results of the ratios? Discuss liquidity issues of competitive companies within the same industry.
Recommendation
Based on your analysis, would you recommend an individual invest in this company? What strengths do you see? What risks do you see? It is perfectly acceptable to state that you would recommend avoiding this company, as long as you provide support for your position.
The paper
- Must be five to seven double-spaced pages in length (not including title and references pages) and formatted according to APA style as outlined in the Ashford Writing Center.
- Must include a separate title page with the following:
- Title of paper
- Student’s name
- Course name and number
- Instructor’s name
- Date submitted
- Must use at least two scholarly sources in addition to the course text.
- Must document all sources in APA style as outlined in the Ashford Writing Center.
- Must include a separate references page that is formatted according to APA style as outlined in the Ashford Writing CentDescription:
Total Possible Score: 15.00
Organization: Introduction, Thesis Statement, and Conclusion
Total: 1.00Distinguished – Paper is logically organized with a well-written introduction, thesis statement, and conclusion.
Proficient – Paper is logically organized with an introduction, thesis statement, and conclusion. One of these requires improvement.
Basic – Paper is organized with an introduction, thesis statement, and conclusion. One or more of the introduction, thesis statement, and/or conclusion require improvement.
Below Expectations – Paper is loosely organized with an introduction, thesis statement, and conclusion. The introduction, thesis statement, and/or conclusion require much improvement.
Non-Performance – The introduction, thesis statement, and conclusion are either nonexistent or lack the components described in the assignment instructions.
Selects and Provides an Overview of the Chosen Company
Total: 2.00Distinguished – Provides a thorough overview of the chosen company, including the industry in which it competes, competitors, and products and/or services provided.
Proficient – Provides an overview of the chosen company, including the industry in which competes, competitors, and of the products and/or services provided. Minor details are missing.
Basic – Provides a limited overview of the chosen company, including the industry in which it competes, some of the competitors, and some of the products and/or services provided. Several relevant details are missing.
Below Expectations – Provides an incomplete overview of the chosen company. Most of the required components (industry, competitors and products/services) are missing.
Non-Performance – The overview of the chosen company is either nonexistent or lacks the components described in the assignment instructions.
Horizontal Analysis of the Income Statement and Balance Sheet
Total: 4.00Distinguished – Creates a thorough and accurate horizontal analysis of the income statement and balance sheet. Discusses, in detail, the importance and meaning of a horizontal analysis, and comprehensively discusses the positive and negative trends for the company chosen.
Proficient – Creates a thorough horizontal analysis of the income statement and balance sheet. Discusses the importance and meaning of a horizontal analysis and the positive and negative trends for the company chosen. Minor details are missing.
Basic – Creates a limited horizontal analysis of the income statement and balance sheet. Minimally discusses the importance and meaning of a horizontal analysis and the positive and negative trends for the company chosen. Several relevant details are missing.
Below Expectations – Attempts to create a horizontal analysis of the income statement and balance sheet; however, the importance and meaning of a horizontal analysis and/or the positive and negative trends for the chosen company are not sufficiently discussed. Many significant details are missing.
Non-Performance – The horizontal analysis of the income statement and balance sheet are either nonexistent or lack the components described in the assignment instructions.
Ratio Analysis
Total: 3.00Distinguished – Correctly calculates all assigned ratios. Interprets the findings, relating their meaning to concepts covered in the text. Fully expands the liquidity discussion to include competitors in the industry and the relevance of their liquidity compared to the chosen company.
Proficient – Calculates all assigned ratios. Interprets the findings, relating their meaning to concepts covered in the text. Expands the liquidity discussion to include competitors in the industry, but does not elaborate on the relevance of their liquidity compared to the chosen company.
Basic – Calculates most assigned ratios. Interprets some of the findings, but does not relate their meaning to concepts covered in the text. Discusses liquidity, but does not address the liquidity of the competitors in the industry in association with the chosen company.
Below Expectations – Calculates some of the assigned ratios, but does not interpret the findings or relate their meaning to the concepts covered in the text. Minimally discusses liquidity and fails to sufficiently address the liquidity of the competitors in the industry in association with the chosen company.
Non-Performance – The ratio analysis is either nonexistent or lacks the components described in the assignment instructions.
Discusses Strengths and Weaknesses of the Firm and Provides a Recommendation for Investment
Total: 1.50Distinguished – Thoroughly discusses the strengths and risks of the company’s financial position based on analysis completed and integrates concepts and data to arrive at a well-supported recommendation.
Proficient – Discusses most of the strengths and risks of the company’s financial position based on the analysis completed and integrates concepts and data to arrive at a reasonably well-supported recommendation.
Basic – Discusses some of the strengths and risks of the company’s financial position based on the analysis completed and makes a recommendation; however, the recommendation is not sufficiently supported by the text or scholarly sources.
Below Expectations – Minimally discusses the strengths and risks of the company’s financial position based on the analysis completed. Fails to make a recommendation for making an investment in this firm.
Non-Performance – The recommendation for an investment in this firm is either nonexistent or lacks the components described in the assignment instructions.
Critical Thinking: Evidence
Total: 0.50Distinguished – Employs persuasive information from credible sources to develop an ample analysis or synthesis of the topic. Viewpoints of experts are scrutinized thoroughly.
Proficient – Employs applicable information from credible sources to develop an analysis of the topic.
Basic – Identifies applicable information from credible sources, but may neglect the application of such information toward the analysis of the topic.
Below Expectations – Displays information from external sources, but such information may lack credibility and/or relevance. Neglects the application of such information toward the analysis of the topic.
Non-Performance – The assignment is either nonexistent or lacks the components described in the instructions.
Quantitative Literacy: Calculations
Total: 0.50Distinguished – Calculations are essentially all successful and all inclusive. Calculations are presented clearly and succinctly.
Proficient – Calculations are mostly successful and adequately comprehensive to solve the problem.
Basic – Attempted calculation either unsuccessfully or represents only a segment of the calculations required to comprehensively solve the problem.
Below Expectations – Attempted calculations are both unsuccessfully and are not comprehensive.
Non-Performance – The assignment is either nonexistent or lacks the components described in the instructions.
Quantitative Literacy: Application/Analysis
Total: 0.50Distinguished – Uses the quantitative analysis of data as the foundation for profound and thoughtful judgments, drawing perceptive, competent conclusions from this work.
Proficient – Uses the quantitative analysis of data as the foundation for competent judgments, drawing rational and proficient conclusions from this work.
Basic – Uses the quantitative analysis of data as the foundation for conceivable judgments, drawing ordinary conclusions from this work.
Below Expectations – Attempts to use the quantitative analysis of data as the foundation for basic judgments and is hesitant about drawing conclusions from this work.
Non-Performance – The assignment is either nonexistent or lacks the components described in the instructions.
Written Communication: Control of Syntax and Mechanics
Total: 0.50Distinguished – Displays meticulous comprehension and organization of syntax and mechanics, such as spelling and grammar. Written work contains no errors, and is very easy to understand.
Proficient – Displays comprehension and organization of syntax and mechanics, such as spelling and grammar. Written work contains only a few minor errors, and is mostly easy to understand.
Basic – Displays basic comprehension of syntax and mechanics, such as spelling and grammar. Written work contains a few errors, which may slightly distract the reader.
Below Expectations – Fails to display basic comprehension of syntax or mechanics, such as spelling and grammar. Written work contains major errors, which distract the reader.
Non-Performance – The assignment is either nonexistent or lacks the components described in the instructions.
Written Communication: APA Formatting
Total: 0.50Distinguished – Accurately uses APA formatting consistently throughout the paper, title page, and reference page.
Proficient – Exhibits APA formatting throughout the paper. However, layout contains a few minor errors.
Basic – Exhibits APA formatting throughout the paper. However, layout contains a few minor errors.
Below Expectations – Fails to exhibit basic knowledge of APA formatting. There are frequent errors, making the layout difficult to distinguish as APA.
Non-Performance – The assignment is either nonexistent or lacks the components described in the instructions.
Written Communication: Page Requirement
Total: 0.50Distinguished – The paper meets the specific page requirement stipulated in the assignment description.
Proficient – The paper closely meets the page requirement stipulated in the assignment description.
Basic – The paper meets over half of the page requirement stipulated in the assignment description.
Below Expectations – A fraction of the page requirement is completed.
Non-Performance – The assignment is either nonexistent or lacks the components described in the instructions.
Written Communication: Resource Requirement
Total: 0.50Distinguished – Uses more than the required number of scholarly sources, providing compelling evidence to support ideas. All sources on the reference page are used and cited correctly within the body of the assignment.
Proficient – Uses required number of scholarly sources to support ideas. All sources on the reference page are used and cited correctly within the body of the assignment.
Basic – Uses less than the required number of sources to support ideas. Some sources may not be scholarly. Most sources on the reference page are used within the body of the assignment. Citations may not be formatted correctly.
Below Expectations – Uses inadequate number of sources that provide little or no support for ideas. Sources used may not be scholarly. Most sources on the reference page are not used within the body of the assignment. Citations are not formatted correctly.
Non-Performance – The assignment is either nonexistent or lacks the components described in the instructions.
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Jermaine Byrant
Nicole Johnson
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RATING
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