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Assignment - Questions on Pacific Container Corporation: Some Financial Concerns.
1) Assess the current financial health and recent financial performance of the company. What strengths and/or weaknesses would you highlight to Victoria Yu?
2) Forecast the firm's financial statements for 2019 and 2020. What will be the external financing requirements of the firm in those years? Can the firm repay its loan within a reasonable period?
3) What are the key driver assumptions of the firm's financial performance? What are the managerial implications of those key drivers? That is, what aspects of the firm's activities should Chen focus on especially?
4) What is Pacific Container's weighted-average cost of capital (WACC)? What are the key assumptions that especially influence WACC?
5) What are the free cash flows of the packaging machine investment? Should Yu approve the investment?
Need - 3 pages + Spread sheet.
Attachment:- Assignment Files.rar
Need – word limit: 3 pages + Spread sheet. NOTES: I am more interested in the quantitative analysis. Thus, your write-up should be (a) concise and to the point and (b) based on your quantitative analysis. The write-up should not exceed three (3) pages plus however many pages you need for your spreadsheet analysis. Make sure that I am able to follow your spreadsheets. That means to annotate and format appropriately. Your grade will be partly based on how you present the data to me. You may work in your assigned groups for this project. Please name your files as follows: Lastname1, Lastname2, Lastname3 – graded case. Please make sure that your names are on at least one of the pages in the Excel Workbook.
Grading Rubric - FIRE Excel Models: Accuracy - There are very few, if any, errors in calculations and data entry. Those errors that do exist have little bearing on the final analysis. Technical - The model is fully dynamic and exhibits advanced technical competency. Formatting - The model is expertly formatted, with good use of color and fonts. There are few, if any, inconsistencies. The model is very clear and easy to follow. Completeness - The analysis provided in the assignment is complete in that all parts of the assignment are fully addressed. Each of the areas above will be graded accordingly and equally weighted to arrive at a final grade.
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