ACC/557 Assignment 3: You Are an Investment Analyst - 100% ORIGINAL PAPER

Assignment 3:YouAreanInvestmentAnalyst

As therepresentativefromyouraccounting firmorpractice,youarein chargeof stock marketanalysis thatwillbe presented toclients aspartof professionalconsultationprocess.Oneofyour high-profile clientsistrying todeterminethepossibleinvestment potentialbetweentwocompanies.However,before youcanrecommend investmentstoclients,youneedtofamiliarizeyourselfwiththebackgroundofthe companies,analyze stocktrends,researchcurrentevents, andanalyzefinancialstatements.Selectone (1)pair ofthesecompaniesandconductyouranalysis.

 Pepsi versus CocaCola,or

 Amazonversus eBay

Writeaneightto ten(8-10) page paper inwhichyou:

1. Analyzeeach company’s history, product /services,majorcustomers,majorsuppliers,and leadership and provide asynopsis ofeach company.

2. Based onthestockpriceforthetimeline listed below,presenta graphthat illustrates thestock price ofeachcompany. Indicateconclusions thatcanbe drawnbasedon the trend:

a. Thedayof itsinitialpublic offering b. January1,2012

c. January1,2011

d. January1,2010

3. Researchandsummarizeat least two(2)news events(this mayinclude mergers,acquisitions, or politicalissues)that occurredfrom2010tothe present dayandthepotential impact onthestock price of eachcompany.Indicatehowthisinfluencesyour investment decisionrelated tothe company.

4. Provideanoverallfinancialanalysisforeach companythat highlights thekeycharacteristics for investment andhowthismayimpact aninvestor’sdecision.

5. Based onyourreviewof thefinancial dataforeachcompany,indicate the accuracyandreliability ofthedataformakinginvestment decision.Providesupportforyourconclusion.

6. Recommend whichcompanyyouconsiderasthebetter investmentforyour client and howyou willpresentyour recommendation. Supportyourrecommendation with datafromyour analysis.

7. Use atleast four (4)qualityacademic resources in thisassignment.Note:Wikipediaand other

Websitesdonot qualityas academic resources. Yourassignmentmustfollowtheseformattingrequirements:

 Betyped,doublespaced,usingTimes NewRomanfont(size 12),withone-inchmarginsonall sides; citations andreferencesmustfollowAPAorschool-specific format.Checkwithyour professor foranyadditional instructions.

 Includeacoverpagecontainingthe titleoftheassignment,thestudent’s name,theprofessor’s name,thecoursetitle,and thedate.Thecoverpageandthereferencepagearenotincludedin therequiredassignment pagelength.

Thespecific courselearning outcomes associatedwith this assignmentare:

 Analyzetheaccountingforcorporationrequirements relatedtostockvaluation,dividends, and retainedearnings.

 Determinehowto valueinvestmentsand howtoreportthembasedon thatvaluation.

 Use technologyandinformation resourcestoresearch issuesin financial accounting.

 Writeclearlyandconciselyaboutfinancial accounting using proper writingmechanics.