Davis, Michaels and Company
Davis, Michaels and Company Case Report
Executive Summary
The executives of Davis, Michaels, and Company need help running their financial planning services. They must decide whether their assistant Janet can practice the fundamental concepts of finance efficiently enough or higher a temporary employee to help them conquer the overwhelming demand of their customers. Janet was given a variety of different DCF analysis questions to determine her skills. The main goal of every problem was to find the best investment strategy for different people that were trying to save up for an important investment in their future. In conclusion, by completing the tasks given and solved below, Janet has proved that she can handle the position and help the company succeed.
Introduction
Davis, Michaels, and Company is a financial consulting firm in San Francisco run by Tom Davis and Gene Michaels. Tom and Gene worked together at Steel, Robbins, Hernandez, and Associates after graduating college. When Tom saved up enough money he left Steel and asked Gene to be his partner to open Davis, Michaels, and Company. The firm provides consulting services for income tax planning, insurance planning, investment planning, and estate planning for small, family owned businesses. Their company is successful and is in need of another consultant besides Tom and Gene. Tom is planning on hiring a college graduate that majored in finance but that is months away and they need a temporary employee immediately. He has decided to have his secretary Janet be in charge of some financial analysis obligations in the mean time. Tom wants to make sure that Janet can handle this responsibility so he has given her a short test of 10 questions on discounted cash flow analysis. The questions are based on a real client who has $10,000 to invest and has a goal of accumulating enough money in 5 years to pay for his daughter’s first year of college.
Body
In the test that Tom administered to Janet, it
Executive Summary
The executives of Davis, Michaels, and Company need help running their financial planning services. They must decide whether their assistant Janet can practice the fundamental concepts of finance efficiently enough or higher a temporary employee to help them conquer the overwhelming demand of their customers. Janet was given a variety of different DCF analysis questions to determine her skills. The main goal of every problem was to find the best investment strategy for different people that were trying to save up for an important investment in their future. In conclusion, by completing the tasks given and solved below, Janet has proved that she can handle the position and help the company succeed.
Introduction
Davis, Michaels, and Company is a financial consulting firm in San Francisco run by Tom Davis and Gene Michaels. Tom and Gene worked together at Steel, Robbins, Hernandez, and Associates after graduating college. When Tom saved up enough money he left Steel and asked Gene to be his partner to open Davis, Michaels, and Company. The firm provides consulting services for income tax planning, insurance planning, investment planning, and estate planning for small, family owned businesses. Their company is successful and is in need of another consultant besides Tom and Gene. Tom is planning on hiring a college graduate that majored in finance but that is months away and they need a temporary employee immediately. He has decided to have his secretary Janet be in charge of some financial analysis obligations in the mean time. Tom wants to make sure that Janet can handle this responsibility so he has given her a short test of 10 questions on discounted cash flow analysis. The questions are based on a real client who has $10,000 to invest and has a goal of accumulating enough money in 5 years to pay for his daughter’s first year of college.
Body
In the test that Tom administered to Janet, it