Question 1 (learning outcome: 1) Identify the ‘value’ objectives and governance of a corporation
Evaluate the ‘value’ objectives and Corporate Governance (ESG) of a company based on its annual report.
Question 2 (learning outcome: 2) Use present value (PV) to value bonds/stocks and make investment decisions
Based on the annual report, explain how the company can both determine and apply PV and other investment criteria (e.g. IRR, payback periods) to make investment decisions.
Question 3 (learning outcome: 3) Demonstrate how the risk/return relationship affects financing decisions
Explain how the company can evaluate the relationship between risk and return by applying the most essential aspects of the Markowitz model, and also how it can determine and apply project cost of capital based on the annual report’s findings.
Question 4 (learning outcome: 4) Demonstrate how market efficiency affects financing decisions
Evaluate and explain the company’s financing decisions and market efficiency. Be sure to address efficient markets and behavioral finance aspects, as well as the practical aspects of financing the corporation and issuing securities.
