Prior to beginning work on this assignment, read Financial Statement Analysis in

Prior to beginning work on this assignment, read Financial Statement Analysis in Mergers and Acquisitions (Links to an external site.) online resource. Carefully review the Company Profile and Due Diligence Guidelines document. You will support your findings and recommendations with evidence from at least four scholarly and/or professional sources in addition to the required annual reports for your chosen acquiring and target companies. Be sure to include any links to professional websites used as references or to access company information.In this assignment, you will prepare a financial analysis for a merger or acquisition based on the acquiring and target companies you identified in the Week 2 assignment. This analysis will include items 3, 5-8, and 10 from the Company Profile and Due Diligence Guidelines document.(See Attached Document)The completed report must include the following elements:Analyze business valuation techniques, and compute, summarize, and identify trends for the following financial ratios for the target company:Inventory turnover for the past three years
Price to book value for the past three years
Price to earnings for the past three years
Sales to accounts receivable for the past three years
Sales to inventories for the past three years
Sales to fixed assets for the past three years
Earnings to book value for the past three years
Create sales profiles for both the acquiring and target companies, including the following:Description of the market
Gross and net sales for the past three years
Comparative advantages and disadvantages
New developments and industry trends
Research program, cost history, and scope results
Analyze the earnings and dividends for both companies, including the following:
Earnings records for the last three years
Earnings comparisons with the industry for the past three years
Dividends and earnings records for the past three years in total and per share
Potential economies
Analyses of selling and general administrative expenses
Evaluate the short-term and long-term assets for both the acquiring and target companies, including the following:
Relationships of cash to current liabilities
Pricing methods
Accounting methods and procedures
Analyses of investments
Evaluate the short-term and long-term liabilities for both the acquiring and target companies, including the following:Long-term loans outstanding and terms
Dividend and interest arrearages
Contingent liabilities: warranties, patent infringements, loss contracts, and compensation for services
Pensions
Commitments for new buildings, machinery, and inventories
Evaluate three-year projected financial data for the target company, including the following:Assumptions for the projected pro forma financial statements
Projected earnings forecast, including income statements and statement of cash flows
Must be five to seven double-spaced pages in length (not including references pages). Also please note that the paper should be 20% or less for originality score, includes an introduction paragraph which will state the purpose for the report and the recommendations for action should be stated. The paper should also include an executive summary which will include a concise summary of the business report. Essentially, this section should (a) restate the purpose of the report, (b) highlight the major points of the report, and (c) describe any results, conclusions, or recommendations from the report. The paper should also have titles for all the posts requested in the response and a conclusion. Lastly, please use at least 3 scholarly and or academically journal as resources. Must be 5-7 pages
Requirements: 5-7 pages

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