Introduction To Managerial Finance : Mini-Case Analysis

FOLLOW All the steps , notes recommendations and evaluation. NO PLAGIARISM.

Reference:    Fundamentals of Corporate Finance Ross, 9 Canadian edition

 

You must read the case (Ratios and Financial Planning at Tuxedo Air Inc. on p. 107) carefully. Various assigned readings in this course lean toward value investing. Concepts related to financial statements and long-term financial planning  and valuation and future cash flows  will help you analyze the cases.

Preparing the Case Analysis

Step 1. Define the problem (15% of assignment grade)

• Be sure to identify the problem and not the symptom of a problem. For example, a decline in sales is a symptom of a problem; you must identify the actual cause of the decline in sales.

Step 2. Formulate alternative solutions to the problem (20% of assignment grade)

• It may be helpful to brainstorm as many solutions as you can and then narrow your list down to three or four solutions you feel are the strongest.

Step 3. Evaluate and compare the alternative solutions (35% of assignment grade)

• To evaluate alternative solutions you should consider their strengths (e.g., increased productivity) and their weaknesses (e.g., increased cost).

Step 4. Recommend and justify an effective solution (30% of assignment grade)

• Be sure to record the reasons why the chosen solution is most effective. In your analysis you must provide a recommendation that is supported by your analysis.

Note: Your analysis may require that you identify more than one problem and develop a set of recommendations.

Evaluation

The Mini-Case Analyses will be marked in its entirety out of 100. The following rubric indicates the criteria students are to adhere to, and their relative weights to the assignment overall.

Activity/Competencies Demonstrated

% of Final Grade             

Define the problem

/15

Formulate alternative solutions to the problem

/20

Evaluate and compare the alternative solutions

/35

Recommend and justify an effective solution

a. identify the reasons why the chosen solution is most effective

/10

b. provide a recommendation that is supported by analysis

/20

Total

/100