Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Basic Finance Expert

Choose a company for this assignment and for the company my group decided to choose Dominos

This assignment is to be based on an Australian listed company chosen by the group from the list below:

(i) Blackmores Limited (ASX Code: BKL).
(ii) Slater and Gordon Limited (ASX code: SGH)
(iii) Domino's Pizza Enterprises Limied (ASX Code: DMP)
(iv) MG Unit Trust (ASX Code: MGC)
(v) Bellamy's Australia Limited (ASX Code: BAL)

The assignment is to be completed in teams of up to four students. There is no requirement for students to be in the same tutorial group. The aim of this group assignment is to foster your ability to research, critically analyse the company financial information and integrate knowledge and skills learnt in BAFN200 to analyse a real company. A further aim is to improve your written communication skills and team-working skills.

Remember, before you attempt questions, it is essential that you familiarise yourself with the company and its financial statements.

You are required to answer the following questions with respect to your chosen company:

a) Examine the share price history and history of traded volumes over the past five years, identifying the main causes of changes in the share price during this period. Based on its stock price, do you think the company has performed well over the past five years?

b) Calculate the market capitalisation of the company as of the end of fiscal year of 2016. Do you think the stock is under-priced or over-priced? Answer this question with reference to the capital asset pricing model (CAPM), and justify your answer. How do you estimate the future price of the stock? Is this the best time to buy or sell the company's shares? Why?

c) What is the mix of debt and equity financing? What types of debt and equity are currently used? Does current financing strategy highlight any impending risks. Critically evaluate the financing policy adopted by the company.

d) If you had $10,000 savings, would you invest in this business? Why or why not? Discuss.

Instructions about the group assignment

Please refer to the Group Formation document for supplementary instructions.

It is up to the group to manage the group dynamics and get equal contribution from all members. It is usually a good idea to appoint a leader to direct and coordinate the activities of the group including allocating tasks among the group members. All group members are expected to discuss the assignment as a whole and contribute to preparing answers to all questions. It is very important for all members to take an active part in completing the assignment and make an equal contribution Before the final submission of the assignment, all group members are expected to review the answers. Only one member should submit the assignment on Turnitin on behalf of all the group members. It is imperative that you list the full names student IDs of all students in the group on the first page of your submission.

Assignments must be submitted with an ACU cover sheet (The cover sheet may be submitted separately), and should:

o Be typed using one-and-a half (1.5) spacing left justified.
o Use Ariel or Times New Roman font size 12.
o Display a one inch margin on all sides.
o Appropriately cite reference original work, author(s) etc. Citation and referencing must conform to the Harvard System.

Your report should contain an introduction followed by answers to questions and a conclusion. Grading will be based on critical analysis of the issue, evidence of wide reading on topic, coherence in the development of arguments, use of appropriate evidence, and clarity of expressions.

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M92290311
  • Price:- $30

Priced at Now at $30, Verified Solution

Have any Question?


Related Questions in Basic Finance

A firm has sales of 613000 with costs of 521000 interest

A firm has sales of $613,000 with costs of $521,000. Interest expense is $26,000 and taxes is $16,500. What is the net income?

You are given the following quotesusnbspdollarmexican

You are given the following quotes: U.S. dollar/Mexican Peso = 0.4637 U.S. dollar/Australian Dollar = 0.6921 U.S dollar/Chinese Yuan = 0.1825 What is the Chinese Yuan/Australian Dollar cross rate? How to find net float i ...

Question - assume that you are given a one year forward

Question - Assume that you are given a one year forward price of $ 50 and domestic rate interest of 6% per annum. Determine what the spot price using continues time.

The satellite shoppe has current sales per share of 840 the

The Satellite Shoppe has current sales per share of $8.40. The sales per share are expected to increase at an annual rate of 12%. The historical P/E ratio is 16.2 and the historical P/S ratio is 7.6. What is the expected ...

Quality home made ice cream has plans to pay decreasing

Quality Home Made Ice Cream has plans to pay decreasing annual dividends of $1.50, $1.25, and $1.00 over the next three years, respectively. After that, the firm will increase the dividend by 4% each year. what is the va ...

You purchase a 15-year bond at a premium of 117292 with a

You purchase a 15-year bond at a premium of $1,172.92 with a 10% semi-annual coupon rate and 8% return. Two years later, you sell the bond. What is the price difference if the interest rates rose 2%? (rounded to 2 decima ...

Cost of capital problem - wacc paramount roofing inc went

COST OF CAPITAL Problem - WACC Paramount Roofing Inc. went public by issuing 1 million shares of common stock at $50 per share. The shares are currently trading at $64 per share. Current risk-free rate is 5.2%, and marke ...

The pretzel factory has net sales of 841300 and cost of

the pretzel factory has net sales of 841,300 and . cost of 698500. the depreciation expense is 28400 and the interest paid is 8400. The firms marginal tax rate is 35 percent what is the firms operating cash flow?

Genetic insights co purchases an asset for 10797 this asset

Genetic Insights Co. purchases an asset for $10,797. This asset qualifies as a seven-year recovery asset under MACRS. The seven-year fixed depreciation percentages for years 1, 2, 3, 4, 5, and 6 are 14.29%, 24.49%, 17.49 ...

Question - you purchase a machine for 100000 such machine

Question - You purchase a machine for $100,000. Such machine has a 3-year MACRS classification. If the machine is sold at the end of the second year for $45,000, what are the after-tax proceeds from the sale, assuming yo ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As