Valuation to value a real world company

Assignment Help Corporate Finance
Reference no: EM132756074

MBS546 Business Finance - Murdoch University

CASH FLOW ANALYSIS AND VALUATION OF SECURITY - TELSTRA CORPORATION LTD

Objective - To evaluate the performance of a firm and its share's value a financial analyst must be able to analyse the firm's financial statements. When analysing these statements, the analyst must focus on cash flows of the firm because ultimately it is changes in the cash flows of the firm that determines its value. This is also a market consensus. Hence understanding how and why cash flows change is an indispensable component of valuation of securities.

The objectives of this assignment are:

1. To equip you with a good understanding of the financial statements of the firm;

2. To build up your analytical skills in the area of cash flows analysis;

3. To apply the methods of valuation to value a real world company.

In addition to developing your knowledge of financial statements and valuation of security, the assignment aims to develop the ability to work in groups: learning how to coordinate with and learn from peers as well as how to deal with any negative issues that may arise in the group process. As such, the assignment submission will include an evaluation of the group process. The group evaluation will not attract any marks; however the rest of the assignment will not be marked without a group evaluation. To assist in the smooth running of groups some guidelines are included with the assignment instructions. These are to be used as a guide only. Groups have their own personalities, so it is important to establish your group norms and plans in a way that best suits your group.

Please ensure that group process problems are discussed and resolved as they arise. If your group encounters any problems that it cannot resolve you can ask your course coordinator to join the group for advice or mediation. Do not leave this to the last minute. Your course coordinator will require all group records to have been kept so that an objective record of proceedings is available.

Group evaluation:

As professionals, you are required to design your own evaluation form for your group assignment. The evaluation should assess whether your group has achieved your stated goals in completing the assignment.

First group meeting

Ensure that all group members have their say in this meeting. This ensures that everybody is aware of each other's expectations. To ensure that meetings run efficiently one group member should undertake the role of facilitator, and another the role of note taker. These roles can be filled on a rotating basis.

The role of the facilitator is to manage the meeting, ensure the group code of behaviour is adhered to and ensure that everybody has a chance to contribute.

Reaching a consensus regarding a desired code of behaviour ensures that all members know what is expected of them. If all group members observe the code of behaviour everybody should learn from and enjoy the group experience.

Establishing strategies now for if a member does not conform to the group code of behaviour, or does not undertake their assigned task by an appropriate time or to an acceptable standard means that all group members have been involved in establishing these strategies. Therefore if somebody does not conform to the group standard they are more likely to see the subsequent course of action as fair and objective.

Determining the skills of the various group members allows for tasks to be allocated in a manner that optimises the group output. When allocating tasks; remember that one of the objectives is to learn from each other.

At the end of this and every meeting you should set the next meeting date, time and venue. Subsequent group meetings:

A record will be kept of -

Meeting date, time and place

Members in attendance

If any members are late and whether they have informed other members.

Who undertakes the roles of facilitator and note taker.

Tasks achieved since the last meeting.

Decisions made by the group (point form OK)

Where tasks are assigned: who is to do what by when.

Next meeting details - date, time, place.

If any disputes arise that require mediation from outside of the group a copy of these records will be required.

Reference no: EM132756074

Questions Cloud

Trace the legal consequences of all communications : Trace the legal consequences of ALL communications and advise Alice of her contractual position with Susan - Would your answer be different if Andy Warhorse
How do compute stevie co gross profit : Compute Stevie CO's gross profit. As of 12/31/2001 Stevie Co. reported ending inventory of $100,000, supplies of $8,000, and land of $260,000.
How can team communication help sheila and quintin work out : Communication skills and teambuilding are critical skills of a healthcare administrator. Imagine the following scenario: There is a bully, Sheila.
Compute what amount of joint cost is allocated : Compute What amount of joint cost is allocated to each operating group using the profit before joint cost allocation as the basis for allocation?
Valuation to value a real world company : To build up your analytical skills in the area of cash flows analysis - apply the methods of valuation to value a real world company.
What the roi was for oriole company : Oriole Company had average operating assets of $4400000 and sales of $2200000 in 2016. If the controllable margin was $440000, the ROI was
Compare two fundamental security design principles : Compare and contrast two fundamental security design principles. Analyze how these principles and how they impact an organizations security posture.
How you generate the histogram : write a short report to complete these two tasks. For the first task, please include all the detailed calculations. For the second task,
Compute how much should be willing to pay for the bond : Assume that you are considering purchasing a certain U.S. Treasury bond that matures in 10 years. How much should you be willing to pay for the bond?

Reviews

Write a Review

Corporate Finance Questions & Answers

  Impact of the global economic crisis on business environment

This paper reviews the article of ‘the impact of the global economic crisis on the business environment' that is written by Roman & Sargu (2011).

  Explain the short and the long-run effects on real output

Explain the short and the long-run effects on real output, price, and unemployment

  Examine the requirements for measuring assets

Examine the needs for measuring assets at fair value in accounting standards

  Financial analysis report driven by rigorous ratio analysis

Financial analysis report driven by rigorous ratio analysis

  Calculate the value of the merged company

Calculate the value of the merged company, the gains (losses) to each group of shareholders, NPV of the deal under different payment methods. Synergy remains the same regardless of payment method.

  Stock market project

Select five companies for the purpose of tracking the stock market, preparing research on the companies, and preparing company reports.

  Write paper on financial analysis and business analysis

Write paper on financial analysis and business analysis

  Intermediate finance

Presence of the taxes increase or decrease the value of the firm

  Average price-earnings ratio

What is the value per share of the company's stock

  Determine the financial consequences

Show by calculation the net present value for the three alternatives (no education, network design certification, mba). Also, according to NPV suggest which alternative you advise your friend to choose

  Prepare a spread sheet model

Prepare a spread sheet model for the client that determines NPV/IRR with and without tax.

  Principles and tools for financial decision-making

Principles and tools for financial decision-making. Analyse the concept of corporate capital structure and compute cost of capital.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd