BALTIMORE CITY COMMUNITY COLLEGE
Principles of Accounting II
Complete the project by answering the questions below. Type your responses in the space provide after each question below. If you deviate from the format I have noted above, there will be an automatic 25 point deduction. Select a publicly traded company. Give me the name and get my approval. Do not choose Target Corporation as I have included a sample analysis of Target here that was done by a student in an earlier semester. Also, note that the sample should be used as a general guide. There have been some changes in the questions in your assignment as compared to the Target sample provided. So, please consult the questions below and answer them accordingly. Obtain electronic copies of the Annual Reports for the last two years. 1. What is the name of your company? (3pts)
2. What are the letters they use when trading in the stock market? (3pts)
3. What is their principal activity? (3pts)
4. What is the name of their auditors? (3pts)
5. What is the dollar value of their Current Assets and their Total Assets? (4pts)
6. What is the total dollar value of their Current and Total Liabilities? (4pts)
7. What is the total value of Stockholders Equity? (4pts)
8. How many common shares has the company authorized, issued and outstanding? (3 pts)
9. What is the par value of each common share? (3pts)
10. What price is the share trading at on the date that you were conducting this research? Please note the date as well. (3pts)
11. What was the highest price that the share traded at over the last 52 weeks? (3pts)
12. What was the lowest price that the share traded at over the last 52 weeks? (3pts)
13. Provide a brief explanation for the 52 week high price and 52 week low price of the company. In other words, why did the company’s stock price go up and come down or vice versa? (6 pts)
14. Write about any recent activity/event affecting the company in your own words. Your write up must be at least 200 words. (6 points)
15. Compute any 8 financial statement ratios for two years. Comment briefly on your findings regarding each ratio. Show your work as follows: (24 points)
Ratio Latest Year Prior Year
Example shown below but you choose any ratios you want:
I. Current Ratio 1.1 .9
II A/R Turnover 3 4
(Note: there are some websites that have already computed these ratios for you. If you use their computations, please cite the source. If you need to compute the ratios yourself, please show your computations on a separate page and enclose it as an attachment) 16. Conduct a horizontal analysis on any five items each from the Balance Sheet and the Income Statement. Thus you will have ten items. Comment on your results. (20 points)
17. Conduct a vertical analysis on any five items each from the Balance Sheet and Income Statement. That is you will have a total of ten items. Comment on your results. (20 points)
18. Please include a web link to the Annual report (2pts)
19. III Cite all your sources (MINIMUM OF 3) following the APA/MLA format ( 6points)
Use letter size paper (8.5"x11")
Spacing of Work: 1.5 times
Normal print (12 font size)
Margins- 1” all sides
Your work must be presented as follows:
I Cover Sheet: Show your name, course name and number, and semester. (2 points) II Next, you will present your work from Question 1 to 18.
This assignment is designed to broaden your understanding of the accounting discipline as well as sharpen your Internet research,...
Bibliography: "Target : Investors : Annual Reports." Target : Investors : Target Investors. Web. 14 Mar. 2011. .
Corporation, Target. "Target Corporation Issues Open Letter to Shareholders | Stock Market Summary (NSDQ, NYSE, AMEX and More) on Boston.com." Web. 14 Mar. 2011. .
"Target Corporation Information | Business.com." Business.com - The Business Search Engine® and Business Directory for Business Information. Web. 14 Mar. 2011. .
"TGT Balance Sheet | Target Corporation Common Stock Stock - Yahoo! Finance." Yahoo! Finance - Business Finance, Stock Market, Quotes, News. Web. 14 Mar. 2011. .
"Stockholders ' Equity Definition." Investopedia.com - Your Source For Investing Education. Web. 14 Mar. 2011. .
"Target Corp, TGT Stock Quote - (NASDAQ) TGT, Target Corp Stock Price." MarketWatch - Stock Market Quotes, Business News, Financial News. Web. 14 Mar. 2011. .
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