Application Report 1: Prepare a 1-2 page report, single spaced, that compares the finances ofHonda Motors(HMC)to the finances ofGeneral Motors (GM). Why hasHMC been so successful, and why hasGM been lagging ?

You report should include topics we have discussed in the course, such as financial statements, financial ratios, financial management decision-making, and time value of money concepts.

You can find this information in the following sources: "Wall Street Journal," "New York Times," Yahoo Finance, Bloomberg, andcompany web sites. The company web site will often provide you with the latest fiscal reports in the "investor relations" section.

Structure yourcompositon to include a summary of the recent earnings report. Cite financial numbers, such as those that appear on the earnings statements, balance sheets, and statement of cash flow. Relay financial ratios that we discussed in the previous unit, such as profit margin, dividend yield, and debt/equity ratio . Describe thesignificanceof these numbers- what do they indicate ? Explain your report relates to our course and to practicing managers.