1.What are the major financial ratios noted in the case? How are those ratios
used in financial modeling?
The major Financial Ratios noted in the case are Growth rate and Margins
(Gross, Operating and Net profit). Also Turnovers : Inventory, PPE,
1.Review the case and try to figure out which companies are which.
- A & B : Health Products
- Company B: is the largest prescription pharmaceutical company in the
world. Is seen as the partner for licensing deals with other pharmaceutical and bio
2. The five CPRs that Doug Scovanner should accept should be The Barn( Highest
IRR, 2ND highest NPV, new market, lowest investment) Gopher Place( 2nd Highest
IRR 12.3%,Favorable income,important market area), Whalen Court(opportunity
enter urban c
a.no dividends are paid?
If no Dividends are paid then you don't need external funds. This letter was issued in 2004 and this results of no paid dividends don't help
the compensation for a negative market because they are not giving
what was pr
1. AutoZones Stock prices has performed good on the Relative cumulative return
it has gone up in the previous five years.
2. The stock repurchase program is to prevent hostile takeover and to distribute
value to shareholders also for the stock priced not
1. The advantages of going public are the amount of cash your company will have. Greater
liquidity for private equity investors have the ability to diversify. Better access to capital,
public companies typically have access to much larger amounts
In what ways can Susan Collyns facilitate the success of CPK?
-CPK can improve both operation side and financial side
- Susan can implement, increase of advertising spending, increase leverage
using debt financing by changing the existing capit
1.What is the financial value that might be created if Medfield decides to pursue the Fleximat reformulation as described in the case?
Is the reformulation the idea of the reformation is reconfiguring the medication so it was different enough for
1.Explain why weights should be based on market-value mixes of debt and
Cost of Capital is Weighted average and its required returns on the securities used
to finance a firm. We used Weighted Average cost of capital or WACC. The majority of