Assume that you have been asked to build a presentation to be given to a group of recent college graduates who majored in non-business related subjects and therefore know very little about economics or finance. These are intelligent and educated individuals, but they know little about the academics of business.
Create a dynamic and engaging PowerPoint presentation in which you explain the nature of the business cycle and its relationship to the performance of the stock market, as measured by the DJIA. Begin your presentation by defining the stages of the theoretical business cycle and identifying what happens in each stage to output, employment and inflation. Then, discuss and illustrate actual business cycles in the U.S. economy since 1900 (see http://www.nber.org/cycles/cyclesmain.html for U.S. business cycle data). Next, explain the similar cycle trend in the stock market as noted by bull and bear markets. Then, discuss and illustrate actual bull and bear market cycles displayed in the DJIA over time (consider the data you examined in your week 1 assignment located at djaverages.com website). Conclude your presentation with observations and associated inferences that can be drawn from the presented data.
Be sure to properly target your presentation to your audience. Incorporate appropriate animations, transitions, and graphics as well as "speaker notes" for each slide. The speaker notes may be comprised of brief paragraphs or bulleted lists. Think of the speaker notes as an outline of what you would verbally say to your audience concerning each slide.
Note: You have to analyze the financial statements of IBM. To create the required common size income statements for IBM, see the following links:
http://www.netmba.com/finance/statements/common-size/
http://www.investinganswers.com/financial-dictionary/financial-statement-analysis/common-size-income-statement-5237
Use total revenue for sales to construct these values.
Your book provides guidance on how to compute and interpret financial ratios. However, if you find the book difficult to follow, there are many websites that discuss how to compute, report and interpret financial ratios for a company.
Support your presentation with a least three (3) scholarly resources (in addition to the NBER and djaverages websites). Other appropriate scholarly resources may be included.
Length: Length: 12 - 15 slides (with a separate reference slide).
Notes length: 100 - 150 words per slide.
Your response should demonstrate thoughtful consideration of the ideas and concepts presented in the course and provide new thoughts and insights relating directly to this topic. Your response should reflect scholarly writing and current APA standards.