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Case ProjectMBA Corporate FinanceObjectives:The crux of MBA this class is learning about tools and metrics to examine the financial viability of new projects that will createvalue for the firm and to evaluate the health of an organization through capital budgeting, and capital conservation etc.Accordingly, this project is aimed at allowing you to take a firm that clearly did certain things wrong and explain (usingconcepts from the course) how a financial manager SHOULD have resolved the issues.Requirements:Pick a large cap U.S. company that declared bankruptcy between 1980 and 2009.

Use this company, and its apparentlyfailures, to answer the following:

1) Describe the nature of the company, what it did, how it was formed, and what service / production it wasprimarily engaged prior to its failure.

2) Provide a brief overview of the timeline surrounding its bankruptcy (no more than half a page).

3) Provide three specific reasons, supported by research, to demonstrate that your firm was crippled by conceptsrelated to poor capital budgeting. (Note: ALL bankruptcies at some level can be traced back to a lack of propercapital budgeting).

4) Did the firm's capital structure help or hinder its initial success and did its capital structure help or hinder itsability to stave off its ultimate bankruptcy?

5) Did hybrid financing, alternative financing, or other "non-traditional" means of financing help or hinder yourfirm? (in other words, if the firm used only traditional financing means, would bankruptcy have been more orless likely?)

6) In 3 pages or less, explain 4 critical actions that a financial manager should have taken in order to avoidbankruptcy.

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  • Category:- Corporate Finance
  • Reference No.:- M9751757

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