Week 9 Assignment 2 Submission Assignment 2: Capital Budgeting Futronics‚ Inc. $2 billion company‚ reducing costs and corporate overhead to use outside vendor resources. Initial investment costs $1 billion. There is 0 salvage value and cost of capital at 8%. Yield cash flows $450‚000 year 1 $350‚000 year 2 $300‚000 year 3 $250‚000 year 4 Internal rate of return Average net return = (450‚000 + 350‚000 + 300‚000 + 250‚000)/4= 1‚350‚000/4 = 337‚500 Average investment = (Investment at beginning
Premium Economics Investment Finance
You are required to prepare an investigative report on a recent corporate scandal that involved improper accounting practices or any form of financial scandal. Your report must include the following: an overview of the corporation a description of the scandal methodology - explaining the specific accounting impropriety that the company used. an explanation of how the firm managed to hide their accounting improprieties a discussion of who the scandal effected - both inside‚ and outside
Premium Corporation Business English-language films
Kayla Rodney MBA 575 Case 4 Questions The University of Northwestern Ohio Jinjian Garment Factory Motivating Go-Slow Workers Piecework is a suitable form of paying employees in the garment factory‚ however it is not the best form of payment for the Shenzhen factory. The piecework system employed by the factory in Shenzhen was well suited to the nature of the work. Each worker was assigned to a specific job and earned an exact amount derived from the number of finished pieces times the price of that
Premium Motivation
Ranbaxy’s criminal guilty plea and $500 million in fines and penalties has brought back the spotlight on corporate governance. The criminal case focused on sales in the US market. However‚ if media reports are to be believed‚ Ranbaxy committed systemic fraud in its worldwide regulatory filings. The US case dates back to the year 2004. This is the initial year when the Corporate Governance Code‚ which was issued by Sebi in the year 2000‚ was made mandatory. Therefore‚ it is quite likely that many
Premium Corporate governance Corporate governance Internal control
Case Study 3: Estimating the Cost of Capital 1. Currently Teletech Corporation (TC) uses a single hurdle rate for both their Telecommunications Services (TS) and Products and Services (P&S) divisions. This hurdle rate obtained by an estimate of TC Weighted Average Cost of Capital (WACC)‚ which is calculated at 9.3%. When analyzing critically at this point‚ TS is underperforming with a return on capital (ROC) of 9.1%‚ whereas‚ P&S segment is well over the required rate of return as it is gaining
Premium Weighted average cost of capital Investment Net present value
FIVE STAR TOOLS Five Star Tools is a small family-owned firm that manufactures diamond-coated cutting tools (chisels and saws) used by jewelers. Production involves three major processes. First‚ steel “blanks” (tools without the diamond coating) are cut to size. Second‚ the blanks are sent to a chemical bath that prepares the tools for the coating process. In the third major process‚ the blanks are coated with diamond chips in a proprietary process that simultaneously coats and sharpens the blade
Premium Variable cost Profit Contribution margin
Case Study 4 1. What are the business goals of SFPUC? How is Knowledge management related to those goals? - The business goal of SFPUC was to capture the knowledge of its retiring employees of “baby boom” age in an efficient and cost effective manner‚ and then transfer the knowledge successfully to the next generation of employees that would be replacing them. Knowledge management is related to these goals because it was a centralized electronic knowledge base which graphically showed the steps
Premium Knowledge management Effectiveness Management
Brown-Forman Board Report | Potential Acquisition of Southern Comfort Corporation | | This board report summarizes the arguments for why it is believed that the acquisition of Southern Comfort Corporation (including Caligrapo Inc.) is a strategic fit that will increase shareholder value through increased sales and profitability | | Vinny Perumal | 3/7/2011 | | CONTENTS 1. Executive Summary 2 2. Background 3 1.1 An Industry Analysis 3 1.1.1 A Mature Industry 3
Premium Management Strategic management Marketing
Global Service Department Business Opportunity Analysis CASE 3. Dogfight over Europe: Ryanair 1) Do you believe Ryanair’s entry into Dublin-London route was successful? Yes‚ Ryanair’s entry into Dublin-London route could be counted successful. Ryanair‚ which has been operated since 1985‚ is a small and rather domestic company compared to Aer Lingus and British Airways (BA). They will operate a turboprop that contains 44 seats‚ that takes 4 round trips per day. Unlike the two giants‚ Ryanair is not
Premium Aer Lingus Express mail Deutsche Post
CAPITAL BUDGETING AT RELIANCE CAPITAL Specialization: Finance Under the Guidance of: Submitted By: Mr. Debashish Chaudary Prarthana Bajaj Mrs. Archana Singh Nupur Singhal Utsav Goel Taruna Bhadana Arjun
Premium Net present value