Assignment: Understanding the Concepts
Write a 3 page of content in which you:
- Imagine you are a small business owner. How will you analyze your business using financial ratios? Compare it with the financial ratios that are important to a financial manager for a large corporation.
- Explain the advantages and disadvantages of debt financing and why an organization would choose to issue stocks rather than bonds to generate funds.
- Discuss how financial returns are related to risk.
- Describe the concept of beta and how it is used.
- Contrast systematic and unsystematic risk.
- Imagine your manufacturing corporation has just won a patent lawsuit. After attorney and other fees, your corporation will have about $1 million. Explain how you plan to invest the money in order to diversify the risk and receive a good return. Support your decisions with concepts learned in this course.
- double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA.
- the reference is not included in the required assignment page length.