Description I complete module 1, tab 1 (and word document) and most of the information for excel tab 2 for module two but I am having a rough time making sure the information is correct. I have not done the word document as I am not sure of the information. I need to ensure the capital funding amount and the cost of capital estimated for CAPITAL STRUCTURE is correct. I am submitting: milestone and rubric, the Excel spreadsheet with financial data. 4 attachmentsSlide 1 of 4attachment_1attachment_1attachment_2attachment_2attachment_3attachment_3attachment_4attachment_4.slider-slide > img { width: 100%; display: block; } .slider-slide > img:focus { margin: auto; } Unformatted Attachment Preview Comments to help you fill in yellow data entry boxes are in blue or red font. Take one row at a START HERE CURRENCY: SCALING: x USD TOTAL REVENUES Growth Rate vs Prior Year Total Operating Expenses OPERATING INCOME or (Loss) Operating Margin Interest expense Interest & other income (expense) INCOME (LOSS) BEFORE INCOME TAXES Provision for (or benefit from) Income Taxes Discontinued Operations Income (Loss), Net NET INCOME OR (LOSS) Weighted average (Number of) Diluted Shares Outstanding DILUTED EARNINGS OR (LOSS) PER SHARE Net Income or (Loss), from Above Depreciation and Amortization Expense Other Operating Sources and (Uses) Cash Flow from Operating Activities Purchases of property & equip., & other capital expenditures Other Investing Activities Cash Flow from Investing Activities Increase or (Decrease) in Debt Increase or (Decrease) in Common Stock Dividend Payments Other Financing Activities Cash Flow from Financing Activities Cumulative Translation Adjustment NET CASH FLOW Free Cash Flow 20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020 Page 22 of 36 Boeing Co. – COMPANY VALUATION (Unaudited; USD 1000000) Fiscal Year –> VALUATION CALCULATIONS FREE CASH FLOW “FCF” (from above) NET PRESENT VALUE “NPV” OF FUTURE FREE CASH FLOWS NPV @ discount rate of 5,0% NPV @ discount rate of 10,0% NPV @ discount rate of 18,0% If you had bought the whole company at the end of fiscal 2019 for its actual market value of —> Free Cash Flows w/Initial Investment Cumulative (initial cash outflow and future FCF’s) Positive cumulative cash flows during the 10-year period? Internal Rate of Return (IRR) MODIFIED INTERNAL RATE OF RETURN (MIRR) Financing Rate Reinivestment Rate MIRR ECONOMIC VALUE ADDED (EVA), ALSO CALLED ECONOMIC PROFIT Assumed Tax Rate (for NOPAT calculation below) Net Operating Profit After Tax (NOPAT) Invested Capital WACC EVA Cash Flows NOTES: 20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020 Page 23 of 36 This tab is used for the corporate valuation report (Final Project I). Enter data (forecasts based on assumption CURRENCY: SCALING: x Boeing Co. – COMPANY VALUATION (Unaudited; USD 1000000) Fiscal Year –> TOTAL REVENUES Growth Rate vs Prior Year Total Operating Expenses OPERATING INCOME or (Loss) Operating Margin Interest expense Interest & other income (expense) INCOME (LOSS) BEFORE INCOME TAXES Provision for (or benefit from) Income Taxes Discontinued Operations Income (Loss), Net NET INCOME OR (LOSS) Weighted average (Number of) Diluted Shares Outstanding DILUTED EARNINGS OR (LOSS) PER SHARE Net Income or (Loss), from Above Depreciation and Amortization Expense Other Operating Sources and (Uses) Cash Flow from Operating Activities Purchases of property & equip., & other capital expenditures Other Investing Activities Cash Flow from Investing Activities Increase or (Decrease) in Debt Increase or (Decrease) in Common Stock Dividend Payments Other Financing Activities Cash Flow from Financing Activities Cumulative Translation Adjustment NET CASH FLOW Free Cash Flow 20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020 Page 24 of 36 Boeing Co. – COMPANY VALUATION (Unaudited; USD 1000000) Fiscal Year –> VALUATION CALCULATIONS FREE CASH FLOW “FCF” (from above) NET PRESENT VALUE “NPV” OF FUTURE FREE CASH FLOWS NPV @ discount rate of 5,0% NPV @ discount rate of 10,0% NPV @ discount rate of 18,0% If you had bought the whole company at the end of fiscal 2019 for its actual market value of —> Free Cash Flows w/Initial Investment Cumulative (initial cash outflow and future FCF’s) Positive cumulative cash flows during the 10-year period? Internal Rate of Return (IRR) MODIFIED INTERNAL RATE OF RETURN (MIRR) Financing Rate Reinivestment Rate MIRR ECONOMIC VALUE ADDED (EVA), ALSO CALLED ECONOMIC PROFIT Assumed Tax Rate (for NOPAT calculation below) Net Operating Profit After Tax (NOPAT) Invested Capital WACC EVA Cash Flows NOTES: 20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020 Page 25 of 36 This tab is used for the corporate valuation report (Final Project I). Enter data (forecasts ba CURRENCY: SCALING: x Boeing Co. – COMPANY VALUATION (Unaudited; USD 1000000) Fiscal Year –> TOTAL REVENUES Growth Rate vs Prior Year Total Operating Expenses OPERATING INCOME or (Loss) Operating Margin Interest expense Interest & other income (expense) INCOME (LOSS) BEFORE INCOME TAXES Provision for (or benefit from) Income Taxes Discontinued Operations Income (Loss), Net NET INCOME OR (LOSS) Weighted average (Number of) Diluted Shares Outstanding DILUTED EARNINGS OR (LOSS) PER SHARE Net Income or (Loss), from Above Depreciation and Amortization Expense Other Operating Sources and (Uses) Cash Flow from Operating Activities Purchases of property & equip., & other capital expenditures Other Investing Activities Cash Flow from Investing Activities Increase or (Decrease) in Debt Increase or (Decrease) in Common Stock Dividend Payments Other Financing Activities Cash Flow from Financing Activities Cumulative Translation Adjustment NET CASH FLOW Free Cash Flow 20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020 Page 26 of 36 Boeing Co. – COMPANY VALUATION (Unaudited; USD 1000000) Fiscal Year –> VALUATION CALCULATIONS FREE CASH FLOW “FCF” (from above) NET PRESENT VALUE “NPV” OF FUTURE FREE CASH FLOWS NPV @ discount rate of 5,0% NPV @ discount rate of 10,0% NPV @ discount rate of 18,0% If you had bought the whole company at the end of fiscal 2019 for its actual market value of —> Free Cash Flows w/Initial Investment Cumulative (initial cash outflow and future FCF’s) Positive cumulative cash flows during the 10-year period? Internal Rate of Return (IRR) MODIFIED INTERNAL RATE OF RETURN (MIRR) Financing Rate Reinivestment Rate MIRR ECONOMIC VALUE ADDED (EVA), ALSO CALLED ECONOMIC PROFIT Assumed Tax Rate (for NOPAT calculation below) Net Operating Profit After Tax (NOPAT) Invested Capital WACC EVA Cash Flows NOTES: 20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020 Page 27 of 36 Powered by Clearbit Boeing Co. (The) (NYS: BA) Issue: Boeing Co.(NYS:BA) Time Period: 5 years Frequency: daily Adjusted Prices Historical Pricing Date 12/31/2019 12/31/2018 12/29/2017 12/30/2016 12/31/2015 Open 325,41 320,5 296,94 156,49 145,96 High 326,57 323,64 297,3 156,79 145,96 Low 323,32 318,75 294,83 154,96 144,5 Close 325,76 322,5 294,91 155,68 144,59 Volume 4960102 3555779 1824118 2028382 2105078 Price Move (%) -0,2 1,93 -0,49 -0,01 -1,24 Powered by Clearbit Boeing Co. (The) (NYS: BA) Exchange rate used is that of the Year End reported date As Reported Annual Income Statement Report Date Currency Audit Status 12/31/2019 USD Not Qualified Consolidated Yes Scale Millions Sales of products 66094 Sales of services 10465 Total revenues 76559 Cost of products 62877 Cost of services 9154 Boeing Capital interest expense 62 Total costs & expenses 72093 Gross profit 4466 Income (loss) from operating investments, net -4 General & administrative expense 3909 Research & development expense, net 3219 Gain (loss) on dispositions, net 691 Earnings (loss) from operations -1975 Other income (loss), net 438 Interest & debt expense 722 Earnings (loss) before income taxes – U.S. Earnings (loss) before income taxes – non-U.S. Earnings (loss) before income taxes -2259 Current U.S. federal income tax expense (benefit) -308 Current non-U.S. income tax expense (benefit) 169 Current U.S. state income tax expense (benefit) -161 Total current income tax expense (benefit) -300 Deferred U.S. federal income tax expense (benefit) -953 Deferred non-U.S. income tax expense (benefit) -3 Deferred U.S. state income tax expense (benefit) -367 Total deferred income tax expense (benefit) -1323 Income tax expense (benefit) -1623 Net earnings from continuing operations Net earnings (loss) -636 Less: earnings available to participating securites Net earnings available to common shareholders Weighted average shares outstanding – basic 565,4 Weighted average shares outstanding – diluted 565,4 Year end shares outstanding 562,909 Net earnings (loss) per share – basic -1,12 Net earnings (loss) per share – diluted -1,12 Cash dividends per share 8,22 12/31/2018 USD Not Available Yes Millions 90229 10898 101127 72922 8499 69 81490 19637 111 4567 3269 75 11987 92 475 11604 1873 169 97 2139 -996 -4 5 -995 1144 10460 579,9 585,5 567,641 18,05 17,85 7,19 12/31/2017 USD Not Qualified Yes Millions 83204 10188 93392 68365 7631 70 76066 17326 204 4094 3179 21 10278 129 360 9615 432 10047 1276 149 23 1448 405 -1 -2 402 1850 8197 6 8191 603,2 610 591,039 13,6 13,43 5,97 12/31/2016 USD Not Qualified Yes Millions 84399 10172 94571 72713 8018 59 80790 13781 303 3616 4627 -7 5834 40 306 5175 393 5568 1193 133 15 1341 -618 -4 -46 -668 673 4895 3 4892 635,5 642,8 617,152 7,7 7,61 4,69 Number of full time employees Total number of common stockholders Foreign currency translation adjustments 140800 108310 128 150500 113517 -104 12/31/2019 12/31/2018 12/31/2017 USD USD USD Not Not Not Qualified Available Qualified Consolidated Yes Yes Yes Scale Millions Millions Millions Cash & cash equivalents 9485 7637 8813 Short-term & other investments 545 927 1179 Commercial customer contracts 2059 U.S. government contracts 1121 1877 5989 Commercial airplanes 29 1542 Global services 1967 1472 Defense, space & security customers 220 760 Reinsurance receivables 467 Other accounts receivable 2 348 Less valuation allowance – accounts receivable 73 57 62 Accounts receivable, net 3266 3879 10516 Unbilled receivables, net 9043 10025 Current portion of customer financing, net 162 460 309 Long-term contracts in progress 1187 2129 13889 Commercial aircraft programs 66016 52753 52861 Commercial spare parts, used aircraft, general stock materials 9419& other inventories 7685 5688 Inventory before advances & progress billings 72438 Less advances & progress billings -28094 Inventories, net of advances & progress billings 76622 62567 44344 Other current assets 3106 2335 Total current assets 102229 87830 65161 Customer financing, net 2136 2418 2740 Land 527 546 530 Buildings & land improvements 14288 14109 14125 Machinery & equipment 15723 15221 14577 Construction in progress 1306 1337 1081 Gross property, plant & equipment 31844 31213 30313 Less accumulated depreciation 19342 18568 17641 Property, plant & equipment, net 12502 12645 12672 Goodwill 8060 7840 5559 Acquired intangible assets, net 3338 3429 2573 Deferred income taxes 683 284 341 Investments 1092 1087 1260 Other assets, net 3585 1826 2027 Total assets 133625 117359 92333 Accounts payable 15553 12916 12202 Accrued compensation & employee benefit costs 5582 6841 6659 737 MAX customer concessions & other considerations 7389 Accrued environmental 570 555 524 Accrued product warranties 1267 1127 1211 Accrued forward loss recognition 1681 1488 1683 Accrued dividends payable 1159 1160 1005 Accrued income taxes payable 670 485 380 12/31/2016 USD Not Qualified Yes Millions 8801 1228 4639 2432 733 526 567 65 8832 428 12801 52048 5446 70295 -27096 43199 62488 3773 535 13796 13569 1790 29690 16883 12807 5324 2540 332 1317 1416 89997 11190 5720 562 1414 1385 866 89 As Reported Annual Balance Sheet Report Date Currency Audit Status 161100 100750 -27 153000 104376 -86 Other accrued liabilities 4550 Accrued liabilities 22868 Advances & billings in excess of related costs 51551 Unsecured debt securities 1099 Non-recourse debt & notes 21 Finance lease obligations 71 Commercial paper 6109 Other notes 40 Short-term debt & current portion of long-term debt 7340 Total current liabilities 97312 Deferred income taxes 413 Accrued retiree health care 4540 Accrued pension plan liability, net 16276 Other long-term liabilities 3422 Unsecured debt securities 20783 Commercial paper 6109 Non-recourse debt & notes 37 Capital lease obligations 229 Other notes 144 Total debt 27302 Less: short-term debt & current portion 7340 Long-term debt 19962 Common stock 5061 Additional paid-in capital 6745 Treasury stock, at cost 54914 Retained earnings 50644 Currency translation adjustments -128 Unrealized gains & (losses) on certain investments 1 Unrealized gains & (losses) on derivative instruments -84 Defined benefit pension plans & other postretirement benefits -15942 Accumulated other comprehensive income (loss) -16153 Total shareholders’ equity -8617 Noncontrolling interests 317 Total equity -8300 3152 14808 50676 1151 25 57 1895 62 3190 81590 1736 4584 15323 3059 11564 1895 62 156 170 13847 3190 10657 5061 6768 52348 55941 -15083 339 71 410 3830 15292 27440 599 33 52 600 51 1335 56269 1839 5545 16471 2015 10150 600 94 138 135 11117 1335 9782 5061 6804 43454 45320 -15 -1 44 -13404 -13376 355 57 412 4655 14691 23869 255 33 57 39 384 50134 1338 5916 19943 2221 9524 127 138 163 9952 384 9568 5061 4762 36097 40714 -143 -2 -127 -13351 -13623 817 60 877 12/31/2018 USD Not Available Yes Millions 10460 202 2114 93 -3 -75 247 -795 -1826 568 12/31/2017 USD Not Qualified Yes Millions 8197 202 2069 113 2 -21 287 -1821 -1085 12/31/2016 USD Not Qualified Yes Millions 4895 190 1910 90 -7 7 369 112 3755 (1) Accumulated amortization – other assets: As Reported Annual Cash Flow Report Date Currency Audit Status 12/31/2019 USD Not Qualified Consolidated Yes Scale Millions Net earnings (loss) -636 Share-based plans expense 212 Depreciation & amortization 2271 Investment/asset impairment charges, net 443 Customer financing valuation adjustments 250 Loss (gain) on dispositions, net -691 Other charges & credits, net 334 Excess tax benefits from share-based payment arrangements Accounts receivable 603 Unbilled receivables 982 Inventories -12391 Other current assets -682 98 Accounts payable 1600 2 Accrued liabilities 7781 1117 Advances & progress billings 737 2636 Advances & billings in excess of related costs Income taxes receivable, payable & deferred -2476 -180 Other long-term liabilities -621 87 Pension & other postretirement plans -777 -153 Customer financing, net 419 120 Other assets & liabilities 196 610 Net cash flows from operating activities -2446 15322 Property, plant & equipment additions -1834 -1722 Property, plant & equipment reductions 334 120 Acquisitions, net of cash acquired -455 -3230 Contributions to investments -1658 -2607 Proceeds from investments 1759 2898 Purchase of distribution rights -127 -69 Proceeds from dispositions 464 Other investing activities -13 -11 Net cash flows from investing activities -1530 -4621 New borrowings 25389 8548 Debt repayments -12171 -7183 Repayment of distribution rights & other asset financing Contributions from noncontrolling interests 7 35 Stock options exercised 58 81 Excess tax benefits from share-based payment arrangements Employee taxes on certain share-based payment arrangements -248 -257 Common shares repurchased -2651 -9000 Dividends paid -4630 -3946 Other financing activities -15 Net cash flows from financing activities 5739 -11722 Effect of exchange rate changes on cash & cash equivalents -5 -53 Net increase/(decrease) in cash & cash equivalents, including 1758 restricted -1074 Net increase (decrease) in cash & cash equivalents Cash & cash equivalents at beginning of year Cash & cash equivalents, including restricted, at beginning7813 of year 8887 Cash & cash equivalents, including restricted, at end of year 9571 7813 Less restricted cash & cash equivalents, included in Investments 86 176 Cash & cash equivalents at end of year 9485 7637 Net income tax payments (refunds) 837 1326 Interest payments 973 616 As Reported Annual Retained Earnings Report Date Currency Audit Status 12/31/2019 USD Not Qualified Consolidated Yes Scale Millions Previous retained earnings 55941 Share-based compensation & related dividend equivalents -33 Cash dividends declared 4628 Retained earnings 50644 12/31/2018 USD Not Available Yes Millions 49618 -36 4101 55941 130 573 3570 857 94 -582 1017 -258 13344 -1739 92 -324 -3601 3639 -131 2 -2062 2077 -953 311 -132 -9236 -3417 -11350 80 12 8801 8813 896 527 622 726 -493 -810 -68 153 -696 -256 10499 -2613 38 -297 -1719 1209 2 -3380 1325 -1359 -24 321 -93 -7001 -2756 -9587 -33 -2501 11302 8801 1460 523 12/31/2017 USD Not Qualified Yes Millions 40714 -35 3556 45320 12/31/2016 USD Not Qualified Yes Millions 38756 -35 2902 40714 12/31/2015 USD Not Qualified Yes Millions 85255 10859 96114 73446 8578 64 82088 14026 274 3525 3331 -1 7443 -13 275 6828 327 7155 2102 122 21 2245 -297 4 27 -266 1979 5176 5176 4 5172 686,9 695 666,624 7,52 7,44 3,82 -38% -38% 21% 161400 123824 -92 12/31/2015 USD Not Qualified Yes Millions 11302 750 4864 2250 889 550 254 94 8713 212 13858 55230 6673 75761 -28504 47257 68234 3358 536 12397 13187 2242 28362 16286 12076 5126 2657 265 1284 1408 94408 10800 5624 566 1485 757 721 262 4599 14014 24364 1004 36 53 141 1234 50412 2392 6616 17783 2078 9351 163 150 300 9964 1234 8730 5061 4834 29568 38756 -39 -197 -12512 -12748 6335 62 6397 12/31/2015 USD Not Qualified Yes Millions 5176 189 1833 167 -5 1 364 -157 -1069 -1110 -238 2 1192 477 46 2470 167 -142 9363 -2450 42 -31 -2036 2590 39 -1846 1746 -885 399 157 -96 -6751 -2490 -7920 -28 -431 11733 11302 1490 488 12/31/2015 USD Not Qualified Yes Millions 36180 -25 2575 38756 FIN 330 Final Project I Guidelines and Rubric Overview Corporate financial managers must have a business-wide perspective to successfully navigate the corporate environment. The skills you will develop in this course will support you in your future business career and set the foundation for the concepts that will be covered in the next course, Multinational Corporate Finance. Your final project for FIN 330 will allow you to showcase your mastery of the varied skills a finance professional must obtain: It will require you to analyze a real-world corporation from a quantitative perspective while also investigating the challenges and decisions a manager must face. To accomplish this, your final assessment will be broken up into two separate but related projects. For your first project,, a corporate valuation report, you will choose one of the U.S. corporations from the provided list, analyze the historical financials of your chosen corporation using the provided Excel template, and estimate the value of your corporation in a brief report. The second final project is a risk management and ethical analysis that will focus on the same corporation, highlighting the management and leadership considerations and decisions required of top-level financial managers. In this written report, you will discuss ethics, corporate social responsibility, and the challenges related to attaining short-term and long-term goals. Combined, these two projects will assess your knowledge regarding the quantitative and qualitative concepts of corporate finance and leadership. The first final project is divided into two milestones, which will be submitted at various points throughout the course to scaffold learning and ensure quality final submissions. These milestones will be submitted in Modules Two and Five. The final corporate valuation report is due in Module Seven, and the final risk management and ethical analysis is due in Module Eight. In this assignment, you will demonstrate your mastery of the following course outcomes:    Estimate the value of corporations based on quantitative and qualitative analysis of financial history, industry trends, and projections of future performance Analyze the relationships between capital structure, risk, and cost of capital for informing financial decisions that can optimize the value of corporations Analyze challenges financial managers face regarding short-term and long-term planning for informing decision making Prompt Your corporate valuation report should analyze your chosen corporation from the provided list and estimate its overall value. Throughout this assignment, you will use a provided Excel template. To complete this assignment, you will submit both a written paper and the completed Excel template with the “Financial History,” “Capital Structure,” and “Valuation” tabs filled in. Specifically, the following critical elements must be addressed: I. Overview: This section of your report will be devoted to providing a thorough overview of the background of the corporation you selected and setting the foundation for your later discussion of the challenges financial managers face. Specifically, you must address the following: A. Describe the market to which your corporation belongs, identifying the products or services your corporation sells and the share of the market it has. B. Describe the customer base of your corporation and the top competitors for this customer base. Be sure to consider what motivates the customers and the challenges the organization faces in retaining the customer base. C. Describe the key inputs (and sources of those inputs) used to create the products or services, as well as the key resources for corporate operation (such as staff, facilities, technologies, etc.) and the extent to which attaining all these resources presents a challenge to the particular organization. D. Analyze key market trends and issues within the industry for potential risks to the organization. II. Financial History: The next section of your report should focus on the financial history and capital structure of your organization. A. Quantitatively analyze three years’ worth of the corporation’s finances using the provided Excel template. You will submit this template along with your report, and may embed pieces of the Excel template into your report to show key financial highlights in the following critical element. B. Summarize the financial highlights you determined from the analysis in the Excel template, explaining the significance of the key ratios for the overall financial health of the organization. III. Capital Structure: In the third section of your report, discuss the capital structure of the corporation. A. Outline the most recent year’s debt, equity, and total capital using the provided template to show the overall capital structure of the corporation. B. Articulate the corporation’s dividend policy and what impact it has on the investors. C. Analyze the relationship between capital structure, cost of capital, and risk, using examples from your chosen organization. D. Explain how the relationship between capital structure, cost of capital, and risk can help inform decision making and maximize corporate value. IV. Valuation: The final section of your report will focus on calculating current value, outlining assumptions, and estimating the future value of the corporation through forecasting the cash flows. Specifically, respond to the following: A. Calculate the current market value of equity for your corporation, using the three-year history and provided Excel template, and explain what it means for the corporation. B. Outline any assumptions you have made in calculating the current value and estimating the future value of the corporation, explaining why you made them and why they are important. (Hint: Assumptions can include growth rates, margins, trends, etc.) C. Estimate the current value of your corporation by forecasting the cash flows over five years using the provided Excel template, and explain your findings. Calculate EVA, NPV, IRR and MIRR. Milestones Milestone One: Overview and Financial History In Module Two, you will submit Milestone One, which provides you an opportunity to work on the overview and financial history sections of your Final Project I: Corporate Valuation. As part of this assignment, you will also complete specific elements of the provided excel template. This milestone will be graded with the Final Project I Milestone One Rubric. Milestone Two: Capital Structure and Valuation In Module Five, you will submit Milestone Two, which provides you an opportunity to work on the capital structure and valuation sections of your Final Project I: Corporate Valuation. As part of this assignment, you will also complete specific elements of the provided excel template. This milestone will be graded with the Final Project I Milestone Two Rubric. Final Submission: Corporate Valuation Report In Module Seven, you will submit your Final Project I: Corporate Valuation Report. It should be a complete, polished artifact containing all of the critical elements of the final product. It should reflect the incorporation of feedback gained throughout the course on your milestone assignments. This submission will be graded with the Final Project I Rubric. Final Project I Rubric Guidelines for Submission: Your corporate valuation report should be 6–9 pages in length, double spaced, with 12-point Times New Roman font, one-inch margins, and APA formatting. Along with your corporate valuation report, you will submit your complete Excel template as a separate file. You may use pieces of your Excel template as images within your report, but you must still submit the completed Excel template with your final report submission. Critical Elements Overview: Market Exemplary Meets “Proficient” criteria, and description demonstrates deep insight into the corporation’s place in the market (100%) Overview: Customer Meets “Proficient” criteria and makes cogent connections between customer base and competitors (100%) Proficient Accurately describes the market, products or services, and portion of the market held by the chosen corporation (85%) Accurately describes the customer base and the corporation’s top competitors for those customers (85%) Needs Improvement Describes the market, products or services, and portion of the market held by the chosen corporation, but lacks accuracy or necessary detail (55%) Describes the customer base and the corporation’s top competitors for those customers, but lacks accuracy or detail (55%) Not Evident Does not describe the market, products or services, and portion of the market held by the chosen corporation (0%) Value 4 Does not describe the customer base and the corporation’s top competitors (0%) 5 Overview: Resources Overview: Trends Meets “Proficient” criteria and shows keen insight into the varied resources required for corporate operation (100%) Meets “Proficient” criteria and shows keen insight into corporate risks associated with market-wide trends and issues (100%) Financial History: Excel Accurately describes the key inputs and resources the corporation needs (85%) Critically analyzes the market for key trends and issues that may pose risks for the corporation (85%) Correctly analyzes three years of corporate financial statements using the provided Excel template (100%) Financial History: Highlights Meets “Proficient” criteria and shows keen insight into the significance of specific financial calculations for determining financial health (100%) Accurately summarizes the financial highlights determined from the Excel analysis of the corporate financial statements, citing key ratios that give a picture of the overall financial health (85%) Capital Structure: Overall Meets “Proficient” criteria, and outline shows mastery of determining a corporation’s capital structure from financials (100%) Capital Structure: Dividend Policy Meets “Proficient” criteria and makes cogent connections between dividend policy and investor impact (100%) Accurately outlines the most recent year’s debt, equity, and total capital using the provided template to show the overall capital structure of the corporation (85%) Accurately articulates the corporation’s dividend policy and the impact it has on investors (85%) Describes the key inputs and resources the corporation needs but lacks accuracy or detail (55%) Analyzes the market for key trends and issues but lacks detail, logic, or focus on issues that may pose risks for the corporation (55%) Analyzes three years of corporate financial statements using the provided Excel template, but analysis contains miscalculations or is incomplete (55%) Summarizes the financial highlights determined from the Excel analysis of the corporate financial statements but lacks accuracy or details regarding key ratios that give a picture of the overall financial health (55%) Outlines the most recent year’s debt, equity, and total capital using the provided template, but with gaps in accuracy (55%) Does not describe inputs and resources the corporation needs (0%) 5 Does not analyze the market for trends and issues (0%) 4 Does not analyze three years of corporate financial statements using the provided Excel template (0%) 7.7 Does not summarize the financial highlights determined from the Excel analysis (0%) 7.7 Does not outline the most recent year’s debt, equity, and total capital using the provided template (0%) 9.6 Articulates the corporation’s dividend policy and its impact on investors, but does so inaccurately or with gaps in details (55%) Does not articulate the corporation’s dividend policy and its impact on investors (0%) 9.6 Capital Structure: Relationship Meets “Proficient” criteria and makes cogent connections between capital structure, cost of capital, and corporate risk (100%) Accurately analyzes the relationship between capital structure, cost of capital, and risk, using examples to highlight claims (85%) Capital Structure: Maximize Value Meets “Proficient” criteria and shows keen insight into using knowledge of the relationship between cost of capital, capital structure, and risk to maximize corporate value (100%) Accurately explains how the relationship between capital structure, cost of capital, and risk should inform corporate decision making and maximize corporate value (85%) Valuation: Current Value Meets “Proficient” criteria and shows mastery of determining current corporate market value (100%) Accurately calculates the current market value of the chosen corporation using the three-year history and provided Excel template, explaining findings in the report (85%) Valuation: Assumptions Meets “Proficient” criteria and shows keen insight into the role of assumptions in corporate valuation (100%) Clearly outlines reasonable assumptions, explaining why the assumptions were made and why they matter (85%) Valuation: Estimate Meets “Proficient” criteria and shows advanced grasp of future valuation (100%) Logically estimates the current value of the corporation through five-year cash flow forecasting using the provided Excel template (85%) Analyzes the relationship between capital structure, cost of capital, and risk, but lacks accuracy or does not use examples that highlight claims (55%) Explains how the relationship between capital structure, cost of capital, and risk should inform corporate decision making and maximize corporate value, but lacks accuracy or necessary detail (55%) Calculates the current market value of the chosen corporation using the threeyear history and provided Excel template, explaining findings in the report, but lacks accuracy in calculations or lacks detail in explanation of findings (55%) Outlines assumptions, explaining why the assumptions were made and why they matter, but with gaps in clarity or reason (55%) Estimates the current value of the corporation through fiveyear cash flow forecasting using the provided Excel template, but with gaps in logic or accuracy of calculations (55%) Does not analyze the relationship between capital structure, cost of capital, and risk (0%) 9.65 Does not explain how the relationship between capital structure, cost of capital, and risk should inform corporate decision making and maximize corporate value (0%) 9.65 Does not calculate the current market value of the corporation or does not explain findings in the report (0%) 7.7 Does not outline assumptions or explain why they were made and why they matter (0%) 7.7 Does not estimate the current value of the corporation through five-year cash-flow forecasting using the Excel template (0%) 7.7 Articulation of Response Submission is free of errors related to citations, grammar, spelling, s

Description

I complete module 1, tab 1 (and word document) and most of the information for excel tab 2 for module two but I am having a rough time making sure the information is correct. I have not done the word document as I am not sure of the information. I need to ensure the capital funding amount and the cost of capital estimated for CAPITAL STRUCTURE is correct. I am submitting: milestone and rubric, the Excel spreadsheet with financial data.

4 attachmentsSlide 1 of 4attachment_1attachment_1attachment_2attachment_2attachment_3attachment_3attachment_4attachment_4.slider-slide > img { width: 100%; display: block; }
.slider-slide > img:focus { margin: auto; }

Unformatted Attachment Preview

Comments to help you fill in yellow data entry boxes are in blue or red font. Take one row at a
START HERE
CURRENCY:
SCALING: x
USD
TOTAL REVENUES
Growth Rate vs Prior Year
Total Operating Expenses
OPERATING INCOME or (Loss)
Operating Margin
Interest expense
Interest & other income (expense)
INCOME (LOSS) BEFORE INCOME TAXES
Provision for (or benefit from) Income Taxes
Discontinued Operations Income (Loss), Net
NET INCOME OR (LOSS)
Weighted average (Number of) Diluted Shares Outstanding
DILUTED EARNINGS OR (LOSS) PER SHARE
Net Income or (Loss), from Above
Depreciation and Amortization Expense
Other Operating Sources and (Uses)
Cash Flow from Operating Activities
Purchases of property & equip., & other capital expenditures
Other Investing Activities
Cash Flow from Investing Activities
Increase or (Decrease) in Debt
Increase or (Decrease) in Common Stock
Dividend Payments
Other Financing Activities
Cash Flow from Financing Activities
Cumulative Translation Adjustment
NET CASH FLOW
Free Cash Flow
20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020
Page 22 of 36
Boeing Co. – COMPANY VALUATION
(Unaudited; USD 1000000)
Fiscal Year –>
VALUATION CALCULATIONS
FREE CASH FLOW “FCF” (from above)
NET PRESENT VALUE “NPV” OF FUTURE FREE CASH FLOWS
NPV @ discount rate of
5,0%
NPV @ discount rate of
10,0%
NPV @ discount rate of
18,0%
If you had bought the whole company at the end of fiscal 2019 for its actual market value of —>
Free Cash Flows w/Initial Investment
Cumulative (initial cash outflow and future FCF’s)
Positive cumulative cash flows during the 10-year period?
Internal Rate of Return (IRR)
MODIFIED INTERNAL RATE OF RETURN (MIRR)
Financing Rate
Reinivestment Rate
MIRR
ECONOMIC VALUE ADDED (EVA), ALSO CALLED ECONOMIC PROFIT
Assumed Tax Rate (for NOPAT calculation below)
Net Operating Profit After Tax (NOPAT)
Invested Capital
WACC
EVA Cash Flows
NOTES:
20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020
Page 23 of 36
This tab is used for the corporate valuation report (Final Project I). Enter data (forecasts based on assumption
CURRENCY:
SCALING: x
Boeing Co. – COMPANY VALUATION
(Unaudited; USD 1000000)
Fiscal Year –>
TOTAL REVENUES
Growth Rate vs Prior Year
Total Operating Expenses
OPERATING INCOME or (Loss)
Operating Margin
Interest expense
Interest & other income (expense)
INCOME (LOSS) BEFORE INCOME TAXES
Provision for (or benefit from) Income Taxes
Discontinued Operations Income (Loss), Net
NET INCOME OR (LOSS)
Weighted average (Number of) Diluted Shares Outstanding
DILUTED EARNINGS OR (LOSS) PER SHARE
Net Income or (Loss), from Above
Depreciation and Amortization Expense
Other Operating Sources and (Uses)
Cash Flow from Operating Activities
Purchases of property & equip., & other capital expenditures
Other Investing Activities
Cash Flow from Investing Activities
Increase or (Decrease) in Debt
Increase or (Decrease) in Common Stock
Dividend Payments
Other Financing Activities
Cash Flow from Financing Activities
Cumulative Translation Adjustment
NET CASH FLOW
Free Cash Flow
20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020
Page 24 of 36
Boeing Co. – COMPANY VALUATION
(Unaudited; USD 1000000)
Fiscal Year –>
VALUATION CALCULATIONS
FREE CASH FLOW “FCF” (from above)
NET PRESENT VALUE “NPV” OF FUTURE FREE CASH FLOWS
NPV @ discount rate of
5,0%
NPV @ discount rate of
10,0%
NPV @ discount rate of
18,0%
If you had bought the whole company at the end of fiscal 2019 for its actual market value of —>
Free Cash Flows w/Initial Investment
Cumulative (initial cash outflow and future FCF’s)
Positive cumulative cash flows during the 10-year period?
Internal Rate of Return (IRR)
MODIFIED INTERNAL RATE OF RETURN (MIRR)
Financing Rate
Reinivestment Rate
MIRR
ECONOMIC VALUE ADDED (EVA), ALSO CALLED ECONOMIC PROFIT
Assumed Tax Rate (for NOPAT calculation below)
Net Operating Profit After Tax (NOPAT)
Invested Capital
WACC
EVA Cash Flows
NOTES:
20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020
Page 25 of 36
This tab is used for the corporate valuation report (Final Project I). Enter data (forecasts ba
CURRENCY:
SCALING: x
Boeing Co. – COMPANY VALUATION
(Unaudited; USD 1000000)
Fiscal Year –>
TOTAL REVENUES
Growth Rate vs Prior Year
Total Operating Expenses
OPERATING INCOME or (Loss)
Operating Margin
Interest expense
Interest & other income (expense)
INCOME (LOSS) BEFORE INCOME TAXES
Provision for (or benefit from) Income Taxes
Discontinued Operations Income (Loss), Net
NET INCOME OR (LOSS)
Weighted average (Number of) Diluted Shares Outstanding
DILUTED EARNINGS OR (LOSS) PER SHARE
Net Income or (Loss), from Above
Depreciation and Amortization Expense
Other Operating Sources and (Uses)
Cash Flow from Operating Activities
Purchases of property & equip., & other capital expenditures
Other Investing Activities
Cash Flow from Investing Activities
Increase or (Decrease) in Debt
Increase or (Decrease) in Common Stock
Dividend Payments
Other Financing Activities
Cash Flow from Financing Activities
Cumulative Translation Adjustment
NET CASH FLOW
Free Cash Flow
20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020
Page 26 of 36
Boeing Co. – COMPANY VALUATION
(Unaudited; USD 1000000)
Fiscal Year –>
VALUATION CALCULATIONS
FREE CASH FLOW “FCF” (from above)
NET PRESENT VALUE “NPV” OF FUTURE FREE CASH FLOWS
NPV @ discount rate of
5,0%
NPV @ discount rate of
10,0%
NPV @ discount rate of
18,0%
If you had bought the whole company at the end of fiscal 2019 for its actual market value of —>
Free Cash Flows w/Initial Investment
Cumulative (initial cash outflow and future FCF’s)
Positive cumulative cash flows during the 10-year period?
Internal Rate of Return (IRR)
MODIFIED INTERNAL RATE OF RETURN (MIRR)
Financing Rate
Reinivestment Rate
MIRR
ECONOMIC VALUE ADDED (EVA), ALSO CALLED ECONOMIC PROFIT
Assumed Tax Rate (for NOPAT calculation below)
Net Operating Profit After Tax (NOPAT)
Invested Capital
WACC
EVA Cash Flows
NOTES:
20201104182333tera_casandra_module_2_final_submission Valuation Printed 11/4/2020
Page 27 of 36
Powered by Clearbit
Boeing Co. (The) (NYS: BA)
Issue: Boeing
Co.(NYS:BA)
Time Period: 5 years
Frequency: daily
Adjusted Prices
Historical Pricing
Date
12/31/2019
12/31/2018
12/29/2017
12/30/2016
12/31/2015
Open
325,41
320,5
296,94
156,49
145,96
High
326,57
323,64
297,3
156,79
145,96
Low
323,32
318,75
294,83
154,96
144,5
Close
325,76
322,5
294,91
155,68
144,59
Volume
4960102
3555779
1824118
2028382
2105078
Price Move
(%)
-0,2
1,93
-0,49
-0,01
-1,24
Powered by Clearbit
Boeing Co. (The) (NYS: BA)
Exchange rate used is that of the Year End
reported date
As Reported Annual Income Statement
Report Date
Currency
Audit Status
12/31/2019
USD
Not
Qualified
Consolidated
Yes
Scale
Millions
Sales of products
66094
Sales of services
10465
Total revenues
76559
Cost of products
62877
Cost of services
9154
Boeing Capital interest expense
62
Total costs & expenses
72093
Gross profit
4466
Income (loss) from operating investments, net
-4
General & administrative expense
3909
Research & development expense, net
3219
Gain (loss) on dispositions, net
691
Earnings (loss) from operations
-1975
Other income (loss), net
438
Interest & debt expense
722
Earnings (loss) before income taxes – U.S.
Earnings (loss) before income taxes – non-U.S.
Earnings (loss) before income taxes
-2259
Current U.S. federal income tax expense (benefit)
-308
Current non-U.S. income tax expense (benefit)
169
Current U.S. state income tax expense (benefit)
-161
Total current income tax expense (benefit)
-300
Deferred U.S. federal income tax expense (benefit)
-953
Deferred non-U.S. income tax expense (benefit)
-3
Deferred U.S. state income tax expense (benefit)
-367
Total deferred income tax expense (benefit)
-1323
Income tax expense (benefit)
-1623
Net earnings from continuing operations
Net earnings (loss)
-636
Less: earnings available to participating securites
Net earnings available to common shareholders
Weighted average shares outstanding – basic
565,4
Weighted average shares outstanding – diluted
565,4
Year end shares outstanding
562,909
Net earnings (loss) per share – basic
-1,12
Net earnings (loss) per share – diluted
-1,12
Cash dividends per share
8,22
12/31/2018
USD
Not
Available
Yes
Millions
90229
10898
101127
72922
8499
69
81490
19637
111
4567
3269
75
11987
92
475
11604
1873
169
97
2139
-996
-4
5
-995
1144
10460
579,9
585,5
567,641
18,05
17,85
7,19
12/31/2017
USD
Not
Qualified
Yes
Millions
83204
10188
93392
68365
7631
70
76066
17326
204
4094
3179
21
10278
129
360
9615
432
10047
1276
149
23
1448
405
-1
-2
402
1850
8197
6
8191
603,2
610
591,039
13,6
13,43
5,97
12/31/2016
USD
Not
Qualified
Yes
Millions
84399
10172
94571
72713
8018
59
80790
13781
303
3616
4627
-7
5834
40
306
5175
393
5568
1193
133
15
1341
-618
-4
-46
-668
673
4895
3
4892
635,5
642,8
617,152
7,7
7,61
4,69
Number of full time employees
Total number of common stockholders
Foreign currency translation adjustments
140800
108310
128
150500
113517
-104
12/31/2019 12/31/2018 12/31/2017
USD
USD
USD
Not
Not
Not
Qualified
Available
Qualified
Consolidated
Yes
Yes
Yes
Scale
Millions
Millions
Millions
Cash & cash equivalents
9485
7637
8813
Short-term & other investments
545
927
1179
Commercial customer contracts
2059
U.S. government contracts
1121
1877
5989
Commercial airplanes
29
1542
Global services
1967
1472
Defense, space & security customers
220
760
Reinsurance receivables
467
Other accounts receivable
2
348
Less valuation allowance – accounts receivable
73
57
62
Accounts receivable, net
3266
3879
10516
Unbilled receivables, net
9043
10025
Current portion of customer financing, net
162
460
309
Long-term contracts in progress
1187
2129
13889
Commercial aircraft programs
66016
52753
52861
Commercial spare parts, used aircraft, general stock materials
9419& other inventories
7685
5688
Inventory before advances & progress billings
72438
Less advances & progress billings
-28094
Inventories, net of advances & progress billings
76622
62567
44344
Other current assets
3106
2335
Total current assets
102229
87830
65161
Customer financing, net
2136
2418
2740
Land
527
546
530
Buildings & land improvements
14288
14109
14125
Machinery & equipment
15723
15221
14577
Construction in progress
1306
1337
1081
Gross property, plant & equipment
31844
31213
30313
Less accumulated depreciation
19342
18568
17641
Property, plant & equipment, net
12502
12645
12672
Goodwill
8060
7840
5559
Acquired intangible assets, net
3338
3429
2573
Deferred income taxes
683
284
341
Investments
1092
1087
1260
Other assets, net
3585
1826
2027
Total assets
133625
117359
92333
Accounts payable
15553
12916
12202
Accrued compensation & employee benefit costs
5582
6841
6659
737 MAX customer concessions & other considerations 7389
Accrued environmental
570
555
524
Accrued product warranties
1267
1127
1211
Accrued forward loss recognition
1681
1488
1683
Accrued dividends payable
1159
1160
1005
Accrued income taxes payable
670
485
380
12/31/2016
USD
Not
Qualified
Yes
Millions
8801
1228
4639
2432
733
526
567
65
8832
428
12801
52048
5446
70295
-27096
43199
62488
3773
535
13796
13569
1790
29690
16883
12807
5324
2540
332
1317
1416
89997
11190
5720
562
1414
1385
866
89
As Reported Annual Balance Sheet
Report Date
Currency
Audit Status
161100
100750
-27
153000
104376
-86
Other accrued liabilities
4550
Accrued liabilities
22868
Advances & billings in excess of related costs
51551
Unsecured debt securities
1099
Non-recourse debt & notes
21
Finance lease obligations
71
Commercial paper
6109
Other notes
40
Short-term debt & current portion of long-term debt
7340
Total current liabilities
97312
Deferred income taxes
413
Accrued retiree health care
4540
Accrued pension plan liability, net
16276
Other long-term liabilities
3422
Unsecured debt securities
20783
Commercial paper
6109
Non-recourse debt & notes
37
Capital lease obligations
229
Other notes
144
Total debt
27302
Less: short-term debt & current portion
7340
Long-term debt
19962
Common stock
5061
Additional paid-in capital
6745
Treasury stock, at cost
54914
Retained earnings
50644
Currency translation adjustments
-128
Unrealized gains & (losses) on certain investments
1
Unrealized gains & (losses) on derivative instruments
-84
Defined benefit pension plans & other postretirement benefits
-15942
Accumulated other comprehensive income (loss)
-16153
Total shareholders’ equity
-8617
Noncontrolling interests
317
Total equity
-8300
3152
14808
50676
1151
25
57
1895
62
3190
81590
1736
4584
15323
3059
11564
1895
62
156
170
13847
3190
10657
5061
6768
52348
55941
-15083
339
71
410
3830
15292
27440
599
33
52
600
51
1335
56269
1839
5545
16471
2015
10150
600
94
138
135
11117
1335
9782
5061
6804
43454
45320
-15
-1
44
-13404
-13376
355
57
412
4655
14691
23869
255
33
57
39
384
50134
1338
5916
19943
2221
9524
127
138
163
9952
384
9568
5061
4762
36097
40714
-143
-2
-127
-13351
-13623
817
60
877
12/31/2018
USD
Not
Available
Yes
Millions
10460
202
2114
93
-3
-75
247
-795
-1826
568
12/31/2017
USD
Not
Qualified
Yes
Millions
8197
202
2069
113
2
-21
287
-1821
-1085
12/31/2016
USD
Not
Qualified
Yes
Millions
4895
190
1910
90
-7
7
369
112
3755
(1) Accumulated amortization – other assets:
As Reported Annual Cash Flow
Report Date
Currency
Audit Status
12/31/2019
USD
Not
Qualified
Consolidated
Yes
Scale
Millions
Net earnings (loss)
-636
Share-based plans expense
212
Depreciation & amortization
2271
Investment/asset impairment charges, net
443
Customer financing valuation adjustments
250
Loss (gain) on dispositions, net
-691
Other charges & credits, net
334
Excess tax benefits from share-based payment arrangements Accounts receivable
603
Unbilled receivables
982
Inventories
-12391
Other current assets
-682
98
Accounts payable
1600
2
Accrued liabilities
7781
1117
Advances & progress billings
737
2636
Advances & billings in excess of related costs
Income taxes receivable, payable & deferred
-2476
-180
Other long-term liabilities
-621
87
Pension & other postretirement plans
-777
-153
Customer financing, net
419
120
Other assets & liabilities
196
610
Net cash flows from operating activities
-2446
15322
Property, plant & equipment additions
-1834
-1722
Property, plant & equipment reductions
334
120
Acquisitions, net of cash acquired
-455
-3230
Contributions to investments
-1658
-2607
Proceeds from investments
1759
2898
Purchase of distribution rights
-127
-69
Proceeds from dispositions
464
Other investing activities
-13
-11
Net cash flows from investing activities
-1530
-4621
New borrowings
25389
8548
Debt repayments
-12171
-7183
Repayment of distribution rights & other asset financing
Contributions from noncontrolling interests
7
35
Stock options exercised
58
81
Excess tax benefits from share-based payment arrangements Employee taxes on certain share-based payment arrangements
-248
-257
Common shares repurchased
-2651
-9000
Dividends paid
-4630
-3946
Other financing activities
-15
Net cash flows from financing activities
5739
-11722
Effect of exchange rate changes on cash & cash equivalents -5
-53
Net increase/(decrease) in cash & cash equivalents, including
1758
restricted -1074
Net increase (decrease) in cash & cash equivalents
Cash & cash equivalents at beginning of year
Cash & cash equivalents, including restricted, at beginning7813
of year
8887
Cash & cash equivalents, including restricted, at end of year
9571
7813
Less restricted cash & cash equivalents, included in Investments
86
176
Cash & cash equivalents at end of year
9485
7637
Net income tax payments (refunds)
837
1326
Interest payments
973
616
As Reported Annual Retained Earnings
Report Date
Currency
Audit Status
12/31/2019
USD
Not
Qualified
Consolidated
Yes
Scale
Millions
Previous retained earnings
55941
Share-based compensation & related dividend equivalents -33
Cash dividends declared
4628
Retained earnings
50644
12/31/2018
USD
Not
Available
Yes
Millions
49618
-36
4101
55941
130
573
3570
857
94
-582
1017
-258
13344
-1739
92
-324
-3601
3639
-131
2
-2062
2077
-953
311
-132
-9236
-3417
-11350
80
12
8801
8813
896
527
622
726
-493
-810
-68
153
-696
-256
10499
-2613
38
-297
-1719
1209
2
-3380
1325
-1359
-24
321
-93
-7001
-2756
-9587
-33
-2501
11302
8801
1460
523
12/31/2017
USD
Not
Qualified
Yes
Millions
40714
-35
3556
45320
12/31/2016
USD
Not
Qualified
Yes
Millions
38756
-35
2902
40714
12/31/2015
USD
Not
Qualified
Yes
Millions
85255
10859
96114
73446
8578
64
82088
14026
274
3525
3331
-1
7443
-13
275
6828
327
7155
2102
122
21
2245
-297
4
27
-266
1979
5176
5176
4
5172
686,9
695
666,624
7,52
7,44
3,82
-38%
-38%
21%
161400
123824
-92
12/31/2015
USD
Not
Qualified
Yes
Millions
11302
750
4864
2250
889
550
254
94
8713
212
13858
55230
6673
75761
-28504
47257
68234
3358
536
12397
13187
2242
28362
16286
12076
5126
2657
265
1284
1408
94408
10800
5624
566
1485
757
721
262
4599
14014
24364
1004
36
53
141
1234
50412
2392
6616
17783
2078
9351
163
150
300
9964
1234
8730
5061
4834
29568
38756
-39
-197
-12512
-12748
6335
62
6397
12/31/2015
USD
Not
Qualified
Yes
Millions
5176
189
1833
167
-5
1
364
-157
-1069
-1110
-238
2
1192
477
46
2470
167
-142
9363
-2450
42
-31
-2036
2590
39
-1846
1746
-885
399
157
-96
-6751
-2490
-7920
-28
-431
11733
11302
1490
488
12/31/2015
USD
Not
Qualified
Yes
Millions
36180
-25
2575
38756
FIN 330 Final Project I Guidelines and Rubric
Overview
Corporate financial managers must have a business-wide perspective to successfully navigate the corporate environment. The skills you will develop in this
course will support you in your future business career and set the foundation for the concepts that will be covered in the next course, Multinational Corporate
Finance. Your final project for FIN 330 will allow you to showcase your mastery of the varied skills a finance professional must obtain: It will require you to
analyze a real-world corporation from a quantitative perspective while also investigating the challenges and decisions a manager must face.
To accomplish this, your final assessment will be broken up into two separate but related projects. For your first project,, a corporate valuation report, you will
choose one of the U.S. corporations from the provided list, analyze the historical financials of your chosen corporation using the provided Excel template, and
estimate the value of your corporation in a brief report.
The second final project is a risk management and ethical analysis that will focus on the same corporation, highlighting the management and leadership
considerations and decisions required of top-level financial managers. In this written report, you will discuss ethics, corporate social responsibility, and the
challenges related to attaining short-term and long-term goals.
Combined, these two projects will assess your knowledge regarding the quantitative and qualitative concepts of corporate finance and leadership.
The first final project is divided into two milestones, which will be submitted at various points throughout the course to scaffold learning and ensure quality final
submissions. These milestones will be submitted in Modules Two and Five. The final corporate valuation report is due in Module Seven, and the final risk
management and ethical analysis is due in Module Eight.
In this assignment, you will demonstrate your mastery of the following course outcomes:



Estimate the value of corporations based on quantitative and qualitative analysis of financial history, industry trends, and projections of future
performance
Analyze the relationships between capital structure, risk, and cost of capital for informing financial decisions that can optimize the value of corporations
Analyze challenges financial managers face regarding short-term and long-term planning for informing decision making
Prompt
Your corporate valuation report should analyze your chosen corporation from the provided list and estimate its overall value.
Throughout this assignment, you will use a provided Excel template. To complete this assignment, you will submit both a written paper and the completed Excel
template with the “Financial History,” “Capital Structure,” and “Valuation” tabs filled in.
Specifically, the following critical elements must be addressed:
I.
Overview: This section of your report will be devoted to providing a thorough overview of the background of the corporation you selected and setting
the foundation for your later discussion of the challenges financial managers face. Specifically, you must address the following:
A. Describe the market to which your corporation belongs, identifying the products or services your corporation sells and the share of the market it
has.
B. Describe the customer base of your corporation and the top competitors for this customer base. Be sure to consider what motivates the
customers and the challenges the organization faces in retaining the customer base.
C. Describe the key inputs (and sources of those inputs) used to create the products or services, as well as the key resources for corporate
operation (such as staff, facilities, technologies, etc.) and the extent to which attaining all these resources presents a challenge to the particular
organization.
D. Analyze key market trends and issues within the industry for potential risks to the organization.
II.
Financial History: The next section of your report should focus on the financial history and capital structure of your organization.
A. Quantitatively analyze three years’ worth of the corporation’s finances using the provided Excel template. You will submit this template along
with your report, and may embed pieces of the Excel template into your report to show key financial highlights in the following critical element.
B. Summarize the financial highlights you determined from the analysis in the Excel template, explaining the significance of the key ratios for the
overall financial health of the organization.
III.
Capital Structure: In the third section of your report, discuss the capital structure of the corporation.
A. Outline the most recent year’s debt, equity, and total capital using the provided template to show the overall capital structure of the
corporation.
B. Articulate the corporation’s dividend policy and what impact it has on the investors.
C. Analyze the relationship between capital structure, cost of capital, and risk, using examples from your chosen organization.
D. Explain how the relationship between capital structure, cost of capital, and risk can help inform decision making and maximize corporate value.
IV.
Valuation: The final section of your report will focus on calculating current value, outlining assumptions, and estimating the future value of the
corporation through forecasting the cash flows. Specifically, respond to the following:
A. Calculate the current market value of equity for your corporation, using the three-year history and provided Excel template, and explain what it
means for the corporation.
B. Outline any assumptions you have made in calculating the current value and estimating the future value of the corporation, explaining why you
made them and why they are important. (Hint: Assumptions can include growth rates, margins, trends, etc.)
C. Estimate the current value of your corporation by forecasting the cash flows over five years using the provided Excel template, and explain your
findings. Calculate EVA, NPV, IRR and MIRR.
Milestones
Milestone One: Overview and Financial History
In Module Two, you will submit Milestone One, which provides you an opportunity to work on the overview and financial history sections of your Final Project I:
Corporate Valuation. As part of this assignment, you will also complete specific elements of the provided excel template. This milestone will be graded with the
Final Project I Milestone One Rubric.
Milestone Two: Capital Structure and Valuation
In Module Five, you will submit Milestone Two, which provides you an opportunity to work on the capital structure and valuation sections of your Final Project I:
Corporate Valuation. As part of this assignment, you will also complete specific elements of the provided excel template. This milestone will be graded with the
Final Project I Milestone Two Rubric.
Final Submission: Corporate Valuation Report
In Module Seven, you will submit your Final Project I: Corporate Valuation Report. It should be a complete, polished artifact containing all of the critical
elements of the final product. It should reflect the incorporation of feedback gained throughout the course on your milestone assignments. This submission will
be graded with the Final Project I Rubric.
Final Project I Rubric
Guidelines for Submission: Your corporate valuation report should be 6–9 pages in length, double spaced, with 12-point Times New Roman font, one-inch
margins, and APA formatting. Along with your corporate valuation report, you will submit your complete Excel template as a separate file. You may use pieces of
your Excel template as images within your report, but you must still submit the completed Excel template with your final report submission.
Critical Elements
Overview: Market
Exemplary
Meets “Proficient” criteria, and
description demonstrates deep
insight into the corporation’s
place in the market (100%)
Overview: Customer
Meets “Proficient” criteria and
makes cogent connections
between customer base and
competitors (100%)
Proficient
Accurately describes the
market, products or services,
and portion of the market held
by the chosen corporation
(85%)
Accurately describes the
customer base and the
corporation’s top competitors
for those customers (85%)
Needs Improvement
Describes the market, products
or services, and portion of the
market held by the chosen
corporation, but lacks accuracy
or necessary detail (55%)
Describes the customer base
and the corporation’s top
competitors for those
customers, but lacks accuracy
or detail (55%)
Not Evident
Does not describe the market,
products or services, and portion
of the market held by the chosen
corporation (0%)
Value
4
Does not describe the customer
base and the corporation’s top
competitors (0%)
5
Overview: Resources
Overview: Trends
Meets “Proficient” criteria and
shows keen insight into the
varied resources required for
corporate operation (100%)
Meets “Proficient” criteria and
shows keen insight into
corporate risks associated with
market-wide trends and issues
(100%)
Financial History:
Excel
Accurately describes the key
inputs and resources the
corporation needs (85%)
Critically analyzes the market
for key trends and issues that
may pose risks for the
corporation (85%)
Correctly analyzes three years
of corporate financial
statements using the provided
Excel template (100%)
Financial History:
Highlights
Meets “Proficient” criteria and
shows keen insight into the
significance of specific financial
calculations for determining
financial health (100%)
Accurately summarizes the
financial highlights determined
from the Excel analysis of the
corporate financial statements,
citing key ratios that give a
picture of the overall financial
health (85%)
Capital Structure:
Overall
Meets “Proficient” criteria, and
outline shows mastery of
determining a corporation’s
capital structure from
financials (100%)
Capital Structure:
Dividend Policy
Meets “Proficient” criteria and
makes cogent connections
between dividend policy and
investor impact (100%)
Accurately outlines the most
recent year’s debt, equity, and
total capital using the provided
template to show the overall
capital structure of the
corporation (85%)
Accurately articulates the
corporation’s dividend policy
and the impact it has on
investors (85%)
Describes the key inputs and
resources the corporation
needs but lacks accuracy or
detail (55%)
Analyzes the market for key
trends and issues but lacks
detail, logic, or focus on issues
that may pose risks for the
corporation (55%)
Analyzes three years of
corporate financial statements
using the provided Excel
template, but analysis contains
miscalculations or is
incomplete (55%)
Summarizes the financial
highlights determined from the
Excel analysis of the corporate
financial statements but lacks
accuracy or details regarding
key ratios that give a picture of
the overall financial health
(55%)
Outlines the most recent year’s
debt, equity, and total capital
using the provided template,
but with gaps in accuracy (55%)
Does not describe inputs and
resources the corporation needs
(0%)
5
Does not analyze the market for
trends and issues (0%)
4
Does not analyze three years of
corporate financial statements
using the provided Excel
template (0%)
7.7
Does not summarize the financial
highlights determined from the
Excel analysis (0%)
7.7
Does not outline the most recent
year’s debt, equity, and total
capital using the provided
template (0%)
9.6
Articulates the corporation’s
dividend policy and its impact
on investors, but does so
inaccurately or with gaps in
details (55%)
Does not articulate the
corporation’s dividend policy and
its impact on investors (0%)
9.6
Capital Structure:
Relationship
Meets “Proficient” criteria and
makes cogent connections
between capital structure, cost
of capital, and corporate risk
(100%)
Accurately analyzes the
relationship between capital
structure, cost of capital, and
risk, using examples to
highlight claims (85%)
Capital Structure:
Maximize Value
Meets “Proficient” criteria and
shows keen insight into using
knowledge of the relationship
between cost of capital, capital
structure, and risk to maximize
corporate value (100%)
Accurately explains how the
relationship between capital
structure, cost of capital, and
risk should inform corporate
decision making and maximize
corporate value (85%)
Valuation: Current
Value
Meets “Proficient” criteria and
shows mastery of determining
current corporate market value
(100%)
Accurately calculates the
current market value of the
chosen corporation using the
three-year history and
provided Excel template,
explaining findings in the
report (85%)
Valuation:
Assumptions
Meets “Proficient” criteria and
shows keen insight into the
role of assumptions in
corporate valuation (100%)
Clearly outlines reasonable
assumptions, explaining why
the assumptions were made
and why they matter (85%)
Valuation: Estimate
Meets “Proficient” criteria and
shows advanced grasp of
future valuation (100%)
Logically estimates the current
value of the corporation
through five-year cash flow
forecasting using the provided
Excel template (85%)
Analyzes the relationship
between capital structure, cost
of capital, and risk, but lacks
accuracy or does not use
examples that highlight claims
(55%)
Explains how the relationship
between capital structure, cost
of capital, and risk should
inform corporate decision
making and maximize
corporate value, but lacks
accuracy or necessary detail
(55%)
Calculates the current market
value of the chosen
corporation using the threeyear history and provided Excel
template, explaining findings in
the report, but lacks accuracy
in calculations or lacks detail in
explanation of findings (55%)
Outlines assumptions,
explaining why the
assumptions were made and
why they matter, but with gaps
in clarity or reason (55%)
Estimates the current value of
the corporation through fiveyear cash flow forecasting
using the provided Excel
template, but with gaps in logic
or accuracy of calculations
(55%)
Does not analyze the relationship
between capital structure, cost of
capital, and risk (0%)
9.65
Does not explain how the
relationship between capital
structure, cost of capital, and risk
should inform corporate decision
making and maximize corporate
value (0%)
9.65
Does not calculate the current
market value of the corporation
or does not explain findings in
the report (0%)
7.7
Does not outline assumptions or
explain why they were made and
why they matter (0%)
7.7
Does not estimate the current
value of the corporation through
five-year cash-flow forecasting
using the Excel template (0%)
7.7
Articulation of
Response
Submission is free of errors
related to citations, grammar,
spelling, s