BAC6004 Coursework (Maximum word count 3,000 words)
Required:
You are required to select a public limited company from the list below,
conduct research and write a 3,000-word assignment addressing the
following questions:
1. Analyse the firms operating activities, financing activities and
investing activities by applying time series approach and industry
comparative analysis in the context of shareholder value for the last
three years. (60%)
2. Critically evaluate important qualitative factors analysts should
consider when evaluating a firms likely future financial performance.
(40%)
Substantiate your answer with appropriate theories or concepts, relevant
supporting calculations and empirical evidence/examples.
Choose one of the following companies:
Vodafone Plc; or
BT Plc; or
Debenhams Plc.
Learning outcomes:
Calculate as demonstrated in lectures and seminars and interpret
investment ratios and other performance measures to facilitate the
valuation of shares/businesses in the context of mergers and
acquisitions
Evaluate competing theories relating to capital gearing and dividend
policy and their impact on the development of corporate policies
Transferable skills:
Demonstrate an ability to apply quantitative and analytical skills in
practical contexts
Identify and extract relevant information, and to filter and process large
volumes of information into concise analysis
Communicate complex ideas effectively through written means
Demonstrate an ability to conduct an independent research and critical
analysis
Use a range of learning resources competently and appropriately
Assignment/coursework general submission requirements:
The coursework is due for submission at the Izone and Turnitin on the
7th of March 2016.
Your formulae, workings and ratios should be shown in your
appendices, not in the main body of your work.
Your student identification number must be clearly stated at the top of
each page of your work.
A declaration that the work is your own (apart from otherwise
referenced acknowledgements) must be included after the title page
of your assignment.
Each page must be numbered.
Please use a minimum font size of 14.
Where appropriate, a contents page, a list of tables/figures and a list
of abbreviations should precede your work.
All referencing must adhere to School/Institutional requirements.
A word count must be stated at the end of your work.
Your course, year of study and the relevant module must be included
as a footer on each page.
Appendices should be kept to the minimum and be of direct relevance
to the content of your work.
All tables and figures must be correctly numbered and labelled.
Your assignment/coursework should be submitted in one A4
transparent pocket.
Standard assessment regulations apply. You must reference your
work as required by Cardiff Metropolitan University regulations and
must include a bibliography.
Assessment Criteria:
Identification and application of relevant theories/concepts
Use of supporting evidence/workings
Clarity of critical analysis
Structure and presentation

Click here to download the selected financial statements for Micro Chip Computer Corporation. Answer questions 1 and 2 below based on the financial data.
Determine the year-to-year percentage annual growth in total net sales.
Based only on your answers to question #1, do you think the company achieved its sales goal of +10% annual revenue growth in 2009? Determine the target revenue figure, and explain why you do or do not feel that the company hit its target.

Next, consider Micro Chip’s Consolidated Statement of Operations for the year ended September 25, 2008. Download the file here and answer questions 1 and 2.

Use the Percentage Sales Method and a 25% increase in sales to forecast Micro Chip’s Consolidated Statement of Operations for the period of September 26, 2008 through September 25, 2009. Assume a 15% tax rate and restructuring costs of 5% of the new sales figure.
Discuss your results from question number #1. What assumptions have you made? Do any of your assumptions seem unreasonable?

To receive full credit on this assignment, please show all work, including formulae and calculations used to arrive at the financial values. Students using Microsoft Excel must provide an adequate explanation of the methodology used to arrive at that answer.

Assignment Guidelines

Download the financial statements and consolidated statement of operations by clicking on the links above in the assignment description.
Analyze the statements and then answer the four questions listed in the assignment description.
Show all work including calculations and formulas. If applicable, provide a detailed explanation of how you used Microsoft Excel to arrive at your answers.
Organize your answers, mathematical calculations, and Microsoft Excel data into a Word document of 1–2 pages.

Your submitted assignment (120 points) must include the following:

A double-spaced Word document of 1–2 pages that contains your answers to the four questions listed in the assignment description, any calculations you performed, and all formulae that were used. Also, provide your Excel data table(s) along with an explanation of how you arrived at your answers if applicable.
Micro Chip Computer Corporation
Consolidated Statements of Operations For the period September 26, 2007 through
September 25, 2008
Sales
$8,334.00
Cost of Sales
$5,458.00
Gross Margin
$2,876.00
Operating expenses:
R & D
$525.00
Selling, General, and Administrative
$691.00
In-process R & D
———
Restructuring costs
———
Total Operating Exp
$1,216.00
Operating income
$1,660.00
Total interest and other Income net
$194.00
Income before provision for Income taxes
$1,854.00
Provision for income Taxes (15%)
$278.10
Net income
$1,575.90