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    dara moralez
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    This document provides instructions for a financial management assignment involving analyzing financial information from Hewlett Packard (HPQ) and Apple Inc. (AAPL). Students are to review current balance sheet information from specific dates on Yahoo Finance, calculate debt ratios for each company, determine debt-to-enterprise value ratios assuming a 20% higher market value than book value, and identify which ratio would be most relevant for a bank officer considering making a loan to the companies.

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    Financial Mgmt assignment 1

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    This document provides instructions for a financial management assignment involving analyzing financial information from Hewlett Packard (HPQ) and Apple Inc. (AAPL). Students are to review current balance sheet information from specific dates on Yahoo Finance, calculate debt ratios for each company, determine debt-to-enterprise value ratios assuming a 20% higher market value than book value, and identify which ratio would be most relevant for a bank officer considering making a loan to the companies.

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    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as pdf or txt
    21 views1 page

    Assignment #1

    Uploaded by

    dara moralez
    This document provides instructions for a financial management assignment involving analyzing financial information from Hewlett Packard (HPQ) and Apple Inc. (AAPL). Students are to review current balance sheet information from specific dates on Yahoo Finance, calculate debt ratios for each company, determine debt-to-enterprise value ratios assuming a 20% higher market value than book value, and identify which ratio would be most relevant for a bank officer considering making a loan to the companies.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
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    of 1

    Financial Management

    Assignment #1

    Part 1
    Page 511: 15-2, 15-4, 15-10
    Page 513: 15-5 and 15-9

    Part 2
    Go to http://finance.yahoo.com/ and locate current financial information for Hewlett
    Packard (HPQ) and Apple Inc (AAPL), both in terms of each company’s current balance
    sheet. (You can search for the companies by simply typing the abbreviations, it takes you to
    the specific company).
    Note: Use Oct 31, 2018 information for HPQ and Sep 29, 2018 information for AAPL.

    a. Describe the capital structure of each of the companies using debt ratio and interest-
    bearing debt ratio.
    b. What are the debt-to-enterprise value ratios assuming that the market value of capital is
    20% higher than the book values?
    c. If you were a bank officer who was analyzing whether or not to loan more money to these
    companies, which of the ratios calculated in part a and b is more relevant to your analysis?
    Why?

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