Solved by verified expert:every detail is given in this file. that I attached here. it is about accounting and I need this assignment on Wednesday afternoon. thank you
14182918459232937511.docx
14182918459232937511.docx
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FNCE 2013 – W18 – Assignment #2
THIS ASSIGNMENT MAY BE COMPLETE INDIVIDUALLY OR WITH ONE
PARTNER.
You plan to invest in the common stock of a company trading on the Toronto Stock
Exchange. You must compare the financial statements of two companies in the same
industry and decide which one to purchase based on the financial ratios and
analysis of each company. You must use the most current two years.
NO TWO INDIVIDUALS OR GROUPS CAN ANALYZE THE SAME COMPANIES.
COMPANIES WILL BE ASSIGNED ON A FIRST-COME-FIRST-ASSIGNED BASIS. YOU
MUST RESERVE YOUR COMPANIES IN CLASS OR BY EMAIL.
Your analysis must include a 2-year horizontal analysis of the following information
for each of the two companies. Your horizontal analysis must include percentage
change, during the past two years, for each of the following three items.
• Total Revenues
• Sales Per Common Share
• Gross Profit Margin Percentage
Next you must complete an analysis of the following ratios, from the most current
year, for each of the two companies you are analyzing.
• Earnings Per Share
• Price to Earnings
• Dividend Yield
• Dividend Coverage (Payout Ratio)
• Return on Assets
• Return on Common Equity
• Debt to Equity
Your report must include a photocopy of the “Income Statement” and “Balance
Sheet” for each of the companies you analyze.
After completing your financial analysis, you must write a summary of your findings
and explain which of the two companies presents the best investment opportunity.
You must explain the reasons behind your decision. You might conclude that neither
company is worthy of an investment. If so, you must explain the rationale behind
your decision.
Go to the following website: www.sedar.com
• On this website you can access the annual reports for all companies listed on
the Toronto Stock Exchange
1.
2.
3.
4.
5.
Click English
Company Profiles
Pick the companies you will be reviewing
Click view documents
Find the company’s latest Annual Report. It should be 2016 or 2017.
You may also Google the company you are researching to obtain their financial
statements. This is usually a better and easier method.
You can also access corporate financial information from the Toronto Stock
Exchange website at www.tmxmoney.com
The following are the companies you must compare and their symbols. All
submissions must be unique. To avoid everyone analyzing the same companies,
students are assigned the companies they must investigate.
Auto Parts Manufacturing:
Linamar – LNR
Magna International – MG
Banking:
Bank of Nova Scotia – BNS
Toronto-Dominion Bank – TD
Computer Software:
Constellation Software – CSU
CGI Group – GIB.A
Fish Processors:
Clearwater Seafoods – CLR
High Liner Foods – HLF
Food Retailing:
Loblaws Companies – L
Metro – MRU
Insurance:
Manulife Financial – MFC
Sun Life – SLF
Management & Diversified:
Brookfield Asset Management – BAM.A
Power Corp – POW
Mining:
First Quantum Minerals – FM
Lundin Mining –LUN
Oil & Gas:
Canadian Natural Resources – CNQ
Suncor – SU
Precious Metals:
Agnico Eagle Mines – AEM
Goldcorp – G
Pipelines:
Enbridge – ENB
Transcanada Corp – TRP
Railways:
Canadian National Railway – CNR
Canadian Pacific Railway – CPR
Real Estate:
H & R Reit – HR.UN
Rio-Can – REI.UN
Retailing:
Canadian Tire – CTC.A
Hudson’s Bay Co. – HBC
Telecommunications:
Bell Canada – BCE
Rogers Communications – RCI.B
Tooling:
ATS Automotive Tooling – ATA
Exco Technologies – XTC
Utilities:
Canadian Utilities – CU
Emera – EMA
YOUR ASSIGNMENT MUST BE PREPARED USING AN EXCEL SPREADSHEET, WORD
DOCUMENT OR HAND WRITTEN. PHOTOCOPIES OR PRINTOUTS OF THE ANNUAL
REPORT, WITH RATIOS WRITTEN ON THEM, WILL NOT BE ACCEPTED.
YOU MUST SUBMIT A HARDCOPY OF YOUR ASSIGNMENT.
FNCE 2013 – W18 – Assignment #2
THIS ASSIGNMENT MAY BE COMPLETE INDIVIDUALLY OR WITH ONE
PARTNER.
You plan to invest in the common stock of a company trading on the Toronto Stock
Exchange. You must compare the financial statements of two companies in the same
industry and decide which one to purchase based on the financial ratios and
analysis of each company. You must use the most current two years.
NO TWO INDIVIDUALS OR GROUPS CAN ANALYZE THE SAME COMPANIES.
COMPANIES WILL BE ASSIGNED ON A FIRST-COME-FIRST-ASSIGNED BASIS. YOU
MUST RESERVE YOUR COMPANIES IN CLASS OR BY EMAIL.
Your analysis must include a 2-year horizontal analysis of the following information
for each of the two companies. Your horizontal analysis must include percentage
change, during the past two years, for each of the following three items.
• Total Revenues
• Sales Per Common Share
• Gross Profit Margin Percentage
Next you must complete an analysis of the following ratios, from the most current
year, for each of the two companies you are analyzing.
• Earnings Per Share
• Price to Earnings
• Dividend Yield
• Dividend Coverage (Payout Ratio)
• Return on Assets
• Return on Common Equity
• Debt to Equity
Your report must include a photocopy of the “Income Statement” and “Balance
Sheet” for each of the companies you analyze.
After completing your financial analysis, you must write a summary of your findings
and explain which of the two companies presents the best investment opportunity.
You must explain the reasons behind your decision. You might conclude that neither
company is worthy of an investment. If so, you must explain the rationale behind
your decision.
Go to the following website: www.sedar.com
• On this website you can access the annual reports for all companies listed on
the Toronto Stock Exchange
1.
2.
3.
4.
5.
Click English
Company Profiles
Pick the companies you will be reviewing
Click view documents
Find the company’s latest Annual Report. It should be 2016 or 2017.
You may also Google the company you are researching to obtain their financial
statements. This is usually a better and easier method.
You can also access corporate financial information from the Toronto Stock
Exchange website at www.tmxmoney.com
The following are the companies you must compare and their symbols. All
submissions must be unique. To avoid everyone analyzing the same companies,
students are assigned the companies they must investigate.
Auto Parts Manufacturing:
Linamar – LNR
Magna International – MG
Banking:
Bank of Nova Scotia – BNS
Toronto-Dominion Bank – TD
Computer Software:
Constellation Software – CSU
CGI Group – GIB.A
Fish Processors:
Clearwater Seafoods – CLR
High Liner Foods – HLF
Food Retailing:
Loblaws Companies – L
Metro – MRU
Insurance:
Manulife Financial – MFC
Sun Life – SLF
Management & Diversified:
Brookfield Asset Management – BAM.A
Power Corp – POW
Mining:
First Quantum Minerals – FM
Lundin Mining –LUN
Oil & Gas:
Canadian Natural Resources – CNQ
Suncor – SU
Precious Metals:
Agnico Eagle Mines – AEM
Goldcorp – G
Pipelines:
Enbridge – ENB
Transcanada Corp – TRP
Railways:
Canadian National Railway – CNR
Canadian Pacific Railway – CPR
Real Estate:
H & R Reit – HR.UN
Rio-Can – REI.UN
Retailing:
Canadian Tire – CTC.A
Hudson’s Bay Co. – HBC
Telecommunications:
Bell Canada – BCE
Rogers Communications – RCI.B
Tooling:
ATS Automotive Tooling – ATA
Exco Technologies – XTC
Utilities:
Canadian Utilities – CU
Emera – EMA
YOUR ASSIGNMENT MUST BE PREPARED USING AN EXCEL SPREADSHEET, WORD
DOCUMENT OR HAND WRITTEN. PHOTOCOPIES OR PRINTOUTS OF THE ANNUAL
REPORT, WITH RATIOS WRITTEN ON THEM, WILL NOT BE ACCEPTED.
YOU MUST SUBMIT A HARDCOPY OF YOUR ASSIGNMENT.
…
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