Introduction to the company and its business
2. From the information given in the financial statements, calculate the company’s
operating and financial leverage.
3. Obtain the information about the capital structure of the company and analyze it.
4. Calculate the cost of capital of the company and interpret it.
5. Identify a capital budgeting project undertaken by the company and critically
evaluate the particular project in terms of cost of capital, income and expenditure
and cash flows, investment decision rule and financing of the project.