Rating Case Studies Samples For Students

ANALYSIS OF ISLAMIC BOND (SUKUK) MARKET OF DUBAI AND MALAYSIA

Analysis of Islamic Bond (Sukuk) Market of Dubai and Malaysia
Introduction
As the business has expanded all across the world due to rise of internalisation or globalisation, it has become necessary that both the sources of equity and debt capital must be obtained for financing operational activities. In this regard, experts in financial management designed different modes of finance in which issuance of bonds, in case of debt management, forms an integral position. However, these conventional form of bond issuance require trading based on interest rates and are not backed by any security.
Therefore, based on Islamic principles, a ...

Communication Barriers

Introduction
Communication involves a sender transmitting information or an idea to the receiver. Communication helps better understand a person and enable to resolve disputes that may arise. It is important for information to be simple for it to be effective. The receiver must understand the information that is being delivered to eliminate misunderstanding, which most of the time cause frustration and misunderstanding. Excellent interpersonal communication skills create a productive work environment because one can be able to connect better with the work makes.

There are many barriers to effective communication. Barrier may occur at different stages in the process of information ...

PERFORMANCE APPRAISAL

My Opinion on the Experts’ Recommendations

Performance appraisal is all about evaluating the way an employee is doing their job and one of its main purposes is for career development. This is why I am of the opinion that the experts were right in asking Rob to separate the appraisals from salary increases. This is because salary increase does not necessarily constitute or result in an employee’s career growth. The current appraisal method has been ineffective in that the secretaries have been appraised as ‘good’ or ‘excellent’ just so that they don’t miss out on the annual ...

Today, almost seven years after the financial crisis that threw America into upheaval in 2008, the effects are still being felt. In September 2008, the collapse of Lehman Brothers, a global bank, nearly caused the collapse of the financial system of the entire world. What resulted was the worst economic downturn seen by the world since the Great Depression, 80 years ago. The event has been called the Global Financial Crisis and the 2008 Financial Crisis; the period following the collapse became known as the Great Recession.

While the ...

LOLA’S PERFORMANCE EVALUATION

QUESTION 1: Evidence that this case provides for formulating and implementing a systematic approach to performance appraisal
For performance appraisal to be successful the following should be put into consideration; Measures and standards-this involves strategic thinking, job knowledge, setting standards writing and setting objectives and identifying competencies. Communicate expectations-this will involve verbal communication, listening, negotiating and reaching agreement. Plan-this involves planning, decision making, problem solving organizing and budgeting. Monitor assists and control-this involves problem solving, coaching, counseling, instructing, training and giving feedback. Appraise- this involves observing, recalling, judgment and data analysis. Feedback-this involves listening, empathy, planning, negotiating, conflict resolution ...

Introduction

The growth and demise of the Enron Corporation has received critical responses from across the globe. A company that claimed revenues of approximately $101 billion in 2000 had fallen from its grace a year later in 2001, when it declared bankruptcy. The rise and fall of the Enron Corporation came as shock to a lot of small and large investors. After scrutinizing the financial statements investigators found that the figures in the financial statements were artificially inflated in a systematic manner, which is now better known as the “Enron Scandal”. This scandal is believed to be the biggest Accounting scandal of all ...

ADMIRALTY RATINGS

Remember, there is a distinction between the rating for the source and the rating for the information. The source reliable code is another way of stating how credible the source is based on its ability to acquire the information being provided and how the source has performed historically.

The rating for information accuracy is based on the level of certainty that it is a true fact. High source reliability does not provide full confirmation. For example, an A-rated source may pass misinformation due to organizational errors or deliberate action, such as counterespionage efforts. The level of confirmation is based ...

How does Torrington fit with the Timken Company?

Since both Torrington and Timken company operates in similar business line and industry, the acquisition of Torrington will be a great fit into Timken as the latter’s management will be able to take advantage of the resources owned by Torrington. Moreover, as stated in the case details, both companies have only 5% overlap in product offering, but the customer list overlap by 80%. Therefore, a single company will be able to create better value for its customers.

What are the expected synergies?

Since Torrington and Timken operate in similar business lines of automotives and industrial bearings, the acquisition will result in some synergies ...

CAPLAND AND REAL ESTATE ADVISORS PVT. LTD.

Doc. Ref. 2013:01

CapLand Real Estate Advisors Pvt Ltd

Target Audience:
Importance: High
Outcome Required: Response & Direction
Introduction of the company: The firm of CapLand Real Estate Advisors Pvt Ltd has been actively involved in providing services to the public in the field of real estate valuation. Their headquarters are located in the city of Queensland, Australia but they operate and provide their services throughout the country. It is a specialized company that combines the expertise of a commercial real estate agency, a development management platform and a real estate consulting team. Together with so many specialties they offer a ...

I. Capital Structure Choices

Table 16 TI’s Statement of Current and Long-term Liabilities

Accounts Payable

Accrued Expenses

Deferred Revenues

Other Current Liabilities

Total Current Liabilities

Total Long Term Debt

Table 17 TI’s Statement of Shareholder’s Equity
Shareholder's Equity

Deferred Income Tax

Minority Interest

Other Long Term Liabilities

Total Long Term Liabilities

Total Liabilities

Common Shares Outstanding

Preferred Stock

Common Stock, Net

Additional Paid-in Capital

Retained Earnings

Treasury Stock

Other Shareholder's Equity

Shareholder's Equity

Total Liabilities & Shareholder's Equity

Figure 6 TI’s Debt and Equity Structure, 2007 to 2011

A. Capital Resources
Texas Instrument’s liquidity comes ...

Summary of the Decision Situation

Just like any other company venturing into a new business, Uber is facing both marketing and pricing challenges. Uber has placed various services into use to ensure that it beats its competitors in providing ride-sharing services in the United States and other parts of the world, such as Europe, Asia, and Africa. Lyft is the main competitor Uber is facing in most of the United States cities. In the international platform, Uber faces a bigger competitive challenge more so in the Chinese market from companies such as Didi Kuaidi. Some of Uber’s services include charging their customers based ...

Based on the above discussion, recommend and justify the risk exposures that should be reported as part of an Enterprise Risk Management System for the Toyota Motor Company? (10 Marks)
The first risk that Toyota is faced with is the investment in commodities. Commodities such as non-ferrous metals, precious metals, ferrous alloys, energy, and plastic resin from outside sources may be subjected to price changes. Changes in prices can have a negative impact on the productivity for Toyota because inflated prices may result in delayed projects and the inability to complete planned products based on a lack of resources. ...

Key metrics focused on

The key metrics used by Jefferson include the quality of the company’s earnings, balance sheet, cash-flows and operating efficiency. With that, Jefferson uses the metrics to rate the company in view of its performance. On the other hand, GMI focuses on the related party transactions, over boarding of the audit committee members and the non-exec directors as well as severance vesting and the asset-liability valuation. In addition, the GMI considers restatements and internal controls as key metrics in their rating. With the metrics, GMI rates the company’s risk in view of the appropriateness of the noted issues.

Recommendation on buy/hold/sell

...

Introduction

This memo is focused on answering the key questions that Mr. Todd Sylvester, the owner and operator of the business Expresso Espresso, may have following the unfolding of the current situation wherein his business is facing a net loss. The analysis, discussion, and recommendations would emphasize the fact that the owner wants to save his business and make it survive and thrive in this highly competitive environment which apparently is being dominated by big-time rival Starbucks Corporation.
Before setting out giving recommendations how you would be able to turn the situation around, an important first step that has to ...

1. Introduction
The Enron collapse, occurred in October 2001, consequently caused the bankruptcy of the whole Enron Corporation, the world’s leading energy, commodities and services company, as well as the dissolution of Arthur Andersen, which was one of the top five largest audit and accountancy firms in the world. Noteworthy it was not only the largest bankruptcy proceeding in American history at that time, but also the most serious audit failure, so that one says, “Enron is fraud and fraud is Enron”. The rise of Enron was almost as fast as its failure. Actually, it was an ...

Introduction

HUGE was founded in late 1990s, as one of the few firms that were meant to integrate new digital marketing strategies which were to reshape how marketing was done. The other companies formed in this time included Critical Mass, Organic and Razor fish among others. Other companies like Digitas that mainly focused on CRM began to enter the online marketing segment to get a piece of the pie.
Companies have been making a shift towards online advertising in the time since the mid-1990s. This has been a factor that has enabled web development firms to grow very fast in size and ...

International Project Finance

Executive Summary
The project for mining in the hinterland of Peru Mountains is studied as a case in the paper. The Antamina projects as it is called is studied for numerous management aspects of Industry, Finance, Human resources and other international finance aspects. The financial aspect of project completion is an important part of overall banking regulations is determined. Also the design of workforce, stakeholder dialogue in irrefutable and complex circumstances indicates the strength of community and social impact of such projects. The investment commitment is a particular emphasis as also the promulgation of management think on how to cater ...

Part I: a) Based on the above information, please calculate bond's price today.Bond Face value calculation formula

F=face value
C=Coupon Payment = F *contractual interest rate
N=number of payments
i= market interest rate
M= Value at maturity
P=Market price of the bond also known as the fair market value
F=200000 (face Value) ; C= 200,000*5%=50 ; N= 5; i= 4% ; M=200,000
So Bond’s Price today is = 10000((1-1.04^(-5))/ 0.04) + 200,000(1.04)^(-5) = $208,903 so the bond is undervalued. This makes it a great bond to but for any investor at face value.

Part I: b) What is the bond's price today if market rate is 6%?

F=200000 (face Value) ; C= 200,000*5%=50 ; N= 5; i= 6% ; ...

E.I. Du Pont (1983) Case
E.I. Du Pont (1983) Case
1. Reasons why the firms use capital structure policy; target debt ratio
A capital structure policy is essential for firm due to the management and sourcing of capital to achieve corporate strategy. It determines where the funds will come from both internally and externally. (Biais, 2002). There are various forms of capital strategy, which include a target debt ratio. In this policy, the ratio of debt is the tool that is used to manage the capital structure in a company.
The capital structure policy also enables the ...

Employees’ motivation is an important practice that must be embraced by employers for the sake of increasing productivity. Various plans can be employed in the process of motivating employees depending on the nature of the tasks being accomplished. It is important to evaluate each plan before settling on the strategic move.

Part 1

Piece-rate plan encourages individuals to work harder to attain certain targets for them to earn more incentives. Through the increased efforts, Metropolitan Furniture Company will realize increased productivity since many pieces will be developed. Consequently, the quality of the work might be compromised since employees will focus more ...

The term ‘macro-environment’ refers to the set of forces that influence the functioning of all the businesses at the market (Dibb and Simkin, 2008, p.26). In political terms, the fragrance market is likely to be impacted by the major trends in international relations (e.g., the conclusion of international agreements, openings and closings of markets). Similar, given the fact that the Middle Eastern producers of fragrances tend to export them to the markets of other countries, the state of the economic relations between the Middle Eastern countries and the rest of the world is highly important for exporters. Moreover, the ...

Torrington is a perfect strategic fit for Timken because it would make the combined company to be the third largest ball bearing producing company in the world. In addition, the company would experience purchasing synergies that would yield the combined company annual savings of $80 million and the rationalization of the workforce would yield savings of $80 million.
Using Timken cost of debt of 7.23%, to discount the free cash flows of Torrington between 1999 and 2007 would result in an estimated value of Torrington to be $598.59 million. The free cash flows add the depreciation expense because it ...

The rule of law can mean different things because it is an ambiguous term. This is the first index and it is believed to be the legal principle which the law must govern a certain country as opposed by being governed by the arbitrary decisions of a person’s government official(Ferguson 81). Tunisia has a rich legal system to cater for the rule of law. They are among the first countries to have a constitution which governs them. Due to this, many in this country have ended up following constitution as various amendments have been factored in to ...

ISLAMIC FINANCE

Introduction
“During the past decade, the Islamic finance industry has witnessed significant developments, particularly in the field of Sukuk (Islamic bonds)” (Chermi, 2015, p. 1). Sukuk signifies one of the best fruitful merchandises in Islamic finance. They have enticed the notice of numerous backers and turn out to be progressively well-liked in many marketplaces international. They have gotten fame as monetary tools supplying both government support through the issuance of sovereign sukuk and private sector backing through commercial sukuk.

According to Brian (Kettell, n.d.), a sukuk has financial features related to those of a conventional bond, nonetheless is arranged ...

Given the harsh economic time, state of the economy and the rise in basic commodity prices such as food, fuel and cost of housing, personal finances has become a hot topic for a while. Many people live a debt-ridden life mainly on unsecured credit instruments like credit cards. In the financial market, so many other credit instruments are available to provide money to borrowers for many different reasons.

Modern financial systems are extremely complex with markets being made up of many forms of investment instruments and different kinds of investors. This has made the financial market extremely difficult to analyses especially when ...

Lehman Brothers Holdings Inc. was ranked as the fourth largest bank in the US before it declared bankruptcy in 2008. The company was dealing in investment banking, equity and fixed income-income sales and trading, research, investment management, private equity, and private banking. A significant number of clients withdrew their accounts from Lehman Brothers and the share price of the stocks fell at an exponential rate. Consequently, on September 15, 2008 the company filed for bankruptcy under Chapter 11. Lehman Brothers played a major role in the recession of the late 2000’s which drastically affected the entire country. The company ...

Issues emanating from results

As a management representative, these results would depict several issues. The first issue is that the firm has been rated at 53 in comparison to a total of 50. Therefore, pay is high for the firm. The other issue is that the work is rated at 62 in contrast to 50. Therefore, workers are comfortable at Central City.
As a union representative, I would have to issues to present out of the survey. Firstly, promotions seem to be perceived negatively due to the low rating (Gospel & Pendleton, 2006). The score is 36 against an average of 50. There seems to be a ...

INTEGRATION PRACTICE OF CARDINAL HEALTH

[Replace with Student’s Name]
[Replace with University Name]
- Evaluating the threat and opportunities of Cardinal Health’s international activities.

Product development has been deemed the most favorable strategy among the four suggested by the strategic management tools. This is given a rating of 4 relative to the popularity of e-commerce and e-based technology in the health care industry along with increase in the usage of certain technologies because it warrants the openness of the market to the development of innovative ways under the said condition. In addition, the strengthening of the foreign exchange rate would allow ...

RE: McGraw-Hill Companies Inc., Case Study

Reader’s Digest – Executive summary
This case examines the New York-based provider of global services that range from the publishing of textbooks and other educational material, to providing financial market services, and the business information markets. The McGraw-Hill Company is in the business of providing credit ratings, publishing textbooks, and has a major rand in radio and television broadcasting. They operated in three distinct segments in the global market that include, Financial Services, Information & Media, and Education with companies such as, Standard & Poor’s, McGraw-Hill Publishers, McGraw-Hill Constructions, Aviation Week, S&P Capital and S&P Indices, J.D Power & Associates, and ...

Question 1 CRP is required by the banks to hedge its interest rate exposure for a minimum amount and period. Which of the hedging instruments would you advise CRP to choose and why? (50 marks)
At normal interest rate, Expected probability of risk is 0.87x0.5=0.435
At higher interest rate, expected probability of risk is 1.385x0.25=0.34625
At lower interest rate, expected probability of risk is 1.1175x0.25=0.2794
The probability of the risk occurring is lower at the lower interest rating therefore the company should take the option at lower interest rate. The scenario with the lower interest should ...

In our calculations we will use Annual Report for the fiscal year ended February 2, 2013 (Form 10-K). In order to evaluate WACC, we need to analyze the structure of Target’s capital, mainly its debt, leases, common and preferred stock.

Capital Structure

The structure of Long-term debt is provided in Table 1:
The structure of Capital and Operating Leases is provided in Table 2:
According to the Annual Report, Target Corporation has 645,294,423 shares issued and outstanding at February 2, 2013. Company has issued no preferred stock.

Marginal Cost of Debt

According to finance.yahoo.com, yield for 10-year corporate bonds with ...

Abstract

The number of worldwide issues concerning environmental safety and corporate social responsibility has been on an ever-increasing rate. This is why we can also see a significant growth in the demand for environment-friendly and self-sustaining buildings. The number of domestic and international organizations that monitor and facilitate the standardization by means of a tiered certification of such buildings has also been on an ever-increasing rate. The LEED certification program is one of the most prominent ones in the U.S. and the UC Davis Brewery, Winery, and Food buildings have received platinum grade certification under such program. The objective of this paper ...

Question one

The major type of risk that Pasiminco faces are:
- Interest rate risk- this risk is due to financial market conditions. Pasminco borrowings may be based on a fixed on floating rate of interest. It is obvious Pasminco has debt financing in its portfolio and if they are charged variable interest rates on their loans then there is a risk that the level of interest charged may be unfavorable if market interest rates are high. Pasiminco most probably failed to raise intermediate financing because their credit rating had fallen to warrant the difficulty in raising additional capital from lenders. In ...

Introduction

The Gentleman’s “Three” is a fictionalized business case study that reflects a performance appraisal system at Arrow electronics company. It is based at Circale Corporation. The VP in charge of human resources, Nils Ekdahl was tasked with the CEO’s directive of $20 million reduction from the payroll within four months. This directive was made after Circale Corporation made two new acquisitions though consultations with the former VP, Michael Milanese. After the new acquisitions were secured, there was an unsuccessful action of replication of the activities and systems from department to department in the company. Opposed to the duplication process, ...

1. DHR activates in construction and working on this segment, implies a factual approach to business; therefore the activity is highly dependent in meeting the deadlines. The method that best describes how Davis and Hodgetts evaluated Kennison’s work is the critical incident method. This specific method is based on identifying and describing incidents or certain areas where employees did a really good job or where they need to improve (“Performance Appraisal Methods”). Kennison needed to improve deadlines of the projects in order to pass the inspectors’ controls, to manage more carefully the subcontractors and to have a more open communication.
...

Introduction

The article is related to certain human resource management policies and human resource challenges in HCL Technologies. The effects of one such human resource management policy is to divulge the results of the 360 degree ratings for every HCL staff to see and this created a debate especially as it showed the grades of managers as well as employees. The Indian CEO, Nayar strongly advocates this innovative policy and clearly mentioned that the feedback would not influence promotions or bonuses. Despite this, employees are scared. This is one main challenge of HCL Technologies. The second challenge was to tackle the ...

The European sovereign debt crisis dominated international financial markets during 2010-2012. Economies fell into recession and financial market volatility was high. Critically analyze how the government debt problems initially faced by a few relatively

Introduction

The European financial crisis has extended beyond borders and is now affecting other countries in various condiments. China and United States of America are the most affected nations because they depend a lot on European countries for exports. The world is facing a critical problem brought about by the financial crisis, and financial experts are yet to determine the solution to this problem. The global economic meltdown of ...

Introduction

The European financial crisis has extended beyond borders and is now affecting other countries in various condiments. The world is facing a critical problem brought about by the financial crisis, and financial experts are yet to determine the solution to this problem. The global economic meltdown of 2008 found the European Union struggling with the unshakable financial crisis that has been slowing the growth of European currency, the Euro. As the crisis enters its third year, the European and the whole world is worried whether it would end up affecting the world economy leading to world financial crisis (European Commission ...

Abstract

The world is characterized by different kinds of organizations which have different obligations that they carry out. In order for the organizations to run smoothly, they must have capital to sustain their activities or rather to fulfill their obligations. It is quite unfortunate that many of the organizations are normally characterized with lack of funds to carry out their activities. Presbyterian Homes Inc. is one such organization which is affected by lack of funds. For this reason, its members opted to look for an alternative and that is to apply for a loan to some of the markets for credits ...