find both company's financial pages at:
 
http://www.google.com/finance/stockscreener
. Add the criteria of long-term debt to assets to ensure the company has debt. Add the criteria of dividends per share. Find both copany's financial pages at:
 
http://www.sec.gov/edgar.shtml
. Look at the long term debt on the balance sheet. Determine the coupon price, the length until maturity and the yield to maturity. Calculate today's price of bond.
 
1. List the pertinent information on the bond you chose and then calculate the price of one bond from both companies.
 
 2. Which bond is receiving the higher price? Explain your answer.
 
 3. From a time value of money frame of mind what does each rate say about the viewpoint on the time value of money?
 
 4. Which company has a better credit rating? Explain your answer.
 
 5. Based on the credit rating which company do you believe the bank feels more secure will pay back the loan? Explain your answer.
 
 6. Why does the bank charge more interest for one company than the another?
 
 7. What does the credit rating say to investor?
 
 8. Which bond looks is more finanically attractive? Explain why do you chose the answer you did.
 
 
   700 - 1,000 words cities and References
 
 
Part II: Understanding how to properly find the value of a stock using the dividend growth rate is a fundamental building block in valuation. Using the same two companies, evaluate each stock using a constant dividend growth model
 
1. Calculate the future growth rate for both companies.
 
2. Which stock has better growth rate? Do you agree with this assessment? Explain. Support your answer with either a description of a new product growth or from past growth performance.
 
3. Calculate the future stock price for both companies.
 
4. From a time value of money point of view stand point what does the calculated stock price say about the market's view on the time value of money for each stock?
 
5. Compare the calculated stock price with the current stock price for both companies.
 
6. Is either stock underpriced or overpriced? Explain.
 
7. Should an investor purchase either of those stocks?
 
8. Should one stock out perform the other?
 
9. Based on the ratings found in Phase 4, does one stock seem more finally healthy? Explain.
 
10. Does this financial health make a stronger case to invest in the stock? Explain.
 
           700 - 1,000 words Cities and References and please elaborate on the answers to the questions that are given that the correction from my professor.

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