Import your excel calculations and ratios into the word document. You will submit both word and excel files
The chosen company is NVIDIA and the chosen competitor is AMD
Part a: Reformulate the financial statements of your sample firm and a competitor firm you have chosen over the four financial years from 2019 to 2022 (or from 2018 to 2021).
1. Introduction of the core business activities of the sample firm and competitor firms. Identifying the business strategic stage of the sample firm with Boston Consulting Group, or Life cycle model.
2. Reformulate the selected financial statements of both sample firms and control firms correctly, with a clear illustration about the operating, financing and investing activities.
Part b: Undertake a credit analysis based on the financial position and performance of the company you have chosen over the four financial years from 2019 to 2022 (or from 2018 to 2021). Note: not the most recent year. Compare the performance and financial position of your chosen company with the data from a company’s leading competitor.
1. Calculate ratios based on the reformulated and normal statements correctly and compare them with those of the competitor firm.
2. Critically discuss the changes in ratios with the support of qualitative data (like managers or analysts’ point of views/reasons, or student’s own view based on past news). Students’ points of view show their understanding about the sample firm’s financial performance and position, in addition, they can clearly identify the weakness/strength of the financial performance and position of the sample firm. Their analysis is logical without contradiction.
Part c: Based on the above analysis, as a bank manager, you need to make decision on whether you approve the three years bank loan application from your sample firm.
1. Student provides his/her recommendation with referring to the results of analysis – this part is related to the quality of analysis.
Note:
1. Submit the excel sheet containing the reformulated financial statements for the four years. Reformulated Balance Sheet, P&L, CF. Add the ratios to the excel. Import the calculations to word
Have critical discussion in the changes in performance as revealed by the over the four years. Show your understanding about the firms’ financial performance and position, in addition, clearly identify the weakness/strength of the financial performance and position of the firms.
2. The financial ratios should give a financial performance of the companies over the four years
Have critical discussion in the changes in ratios as revealed by the calculations/qualitative data over the four years. Show your understanding about the firms’ financial performance and position, in addition, clearly identify the weakness/strength of the financial performance and position of the firms.
Part C
1. Have recommendations based on your findings. Your recommendations must refer to the results of the analyses done in the precedent sections. Have insights from the analysis