Create a two page report for investors on the topic outlined below.

For this assignment you need to create a two page report for investors on the topic outlined below. Read the brief carefully and ensure that you follow all instructions and guidance provided.
Details

“Rapid ongoing progress with digital technologies has increased the prospects for adoption of new forms of digital money for both domestic and international transactions. These include central bank digital currencies (CBDVs) and so-called global stable coins (GSCs proposed by large technological companies or platforms.” (IMF 2020)

In your report, consider the potential macro-financial effects of digital money.

The layout and format of the report is at your discretion, but it must be readily legible when printed and include a section listing references to resources used to create the report. Reference list should directly follow the two page report.

Important Notes
• Investors are the intended readership of this report. Only include content that they would consider important.
• The financial journalism sourced should clearly link to something that has/will impact performance.

Recommended reading, also use own research:

Good Submissions/Examples of Good Practice
• Reports were clearly organised, well structured and lacking in obvious mistakes.
• Consistent use of formatting.
• Care taken to create well-formatted and uncluttered visualisation of data.
• Made appropriate use of financial terminology
• Considered implications for exchange rate determination

What is EcoEBar’s before-tax cost of long-term debtandcost of equity?

1.What is EcoEBar’s capital structure?Listall the assumptions made underlying your calculations providing the rationale based on capital structure theories and practices.(12marks)

2.What is EcoEBar’s before-tax cost of long-term debtandcost of equity?List all the assumptions made underlyingyour calculations providing the rationale based on capital markettheories and practices.Use the Dividend Growth Model (DGM) and the Capital Asset Pricing Model (CAPM) in calculating the cost of equity.(15marks)

3.Calculate the cost of capital for EcoEBarusing weighted averagecost of capital of debt and equity, and Miller and Modigliani proposition incorporating corporate tax.Explain, which of the cost of equities calculated in question 2 (using the DGM or the CAPM) is used?Why thecapital asset pricing model is not used to estimate the firm’s cost of capital directly?(25marks)

4.If EcoEBar uses book value rather than market value to determine its capital structure, explain theimpact of the cost of capital on its capital budgeting decisions?(8marks)

Why using the bookvalue or the market value of the firm’s capital in the determination of the cost of capital is considered superior?Explain.

Why using the bookvalue or the market value of the firm’s capital in the determination of the cost of capital is considered superior?Explain.

Under what conditions, if any, is this appropriate?

Wood apparently believes that EcoEBar’s cost of capital can be used as the hurdle rate for the required return to evaluate the acquisition of UrbaniFoods. Under what conditions, if any, is this appropriate?(9marks)

Explain the advantages and disadvantages of share repurchase instead of cash dividend payments.

How can the firm raise £200 million forthe acquisition without changing the present capital structure?(5marks)8.Assumethat theexpected net income of EcoEBar in 2020is£400million, how would you suggest that the firm finance the acquisition?Explain the advantages and disadvantages of share repurchase instead of cash dividend payments.(20marks)

How can we prevent another such scenario in the future?

During the summer and fall of 2008, the U.S. financial system and financial systems around the world appeared to be on the verge of collapse. How did we get into this condition? What did we do to get out of it? How can we prevent another such scenario in the future?

Compare and contrast the three major stock market indexes (i.e. Dow Jones Industrial Average, SP 500, and NASDAQ Composite).

This week you will provide an overview of the stock market and evaluate its past performance. Your discussion should include:

General

-The structure of the stock market and how it operates
-How transactions are conducted in the stock market
-Securities that could be bought or sold in the stock market
-Other available financial instruments besides stocks
-How they are used

Evaluation of Overall Stock Market Performance Using the Main Indexes:

-Compare and contrast the three major stock market indexes (i.e. Dow Jones Industrial Average, SP 500, and NASDAQ Composite).
-Graph the performance of indexes from 1996 to present.
-Analyze the trends and explain the major events from 1996.
-Discuss the overall economic outlook and analysts’ forecast of the stock
market.
-What are the factors that affect how the stock market performs?
-Where do you see the stock market going over the next three months?
One year? Three years?

Meet the following requirements:

-Be two or three pages in length for the analysis and explanations

-Include graphs and Excel spreadsheets; these spreadsheets should be embedded in the Word document as an appendix after your analysis and explanations

-Include a minimum of three credible references.

Based on your financial review, determine the risk level of the stock from your investor’s point of view.

Imagine that you are a financial manager researching investments for your client. Think of a friend or a family member as a client. Define their characteristics and goals such as an employee or employer, relatively young (less than 40 years) or close to retirement, having some savings/property, a risk taker or risk averter, etc. Next, use Nexis Uni at the Strayer University library, located at Nexis Uni, click on “Company Dossier” to research the stock of any U.S. publicly traded company that you may consider as an investment opportunity for your client. Your investment should align with your client’s investment goals. Note: Please ensure that you are able to find enough information about this company in order to complete this assignment. You will create an appendix, in which you will insert related information.

Instructions
This final financial research report will be 6–8 pages long, including an edited version of the first part of your assignment submitted in Week 7. This assignment requires you to use at least five quality academic resources and cover the following topics:

Rationale for choosing the company in which to invest.
Ratio analysis.
Stock price analysis.
Recommendations.
Refer to the following resources to assist with completing your assignment:

Stock Selection

Forbes: Six Rules to Follow When Picking Stocks.
CNN Money: Stocks: Investing in Stocks.
The Motley Fool: 13 Steps to Investing Foolishly.
Seeking Alpha: The Graham And Dodd Method for Valuing Stocks.
Investopedia: Guide to Stock-Picking Strategies.
Seeking Alpha: Get Your Smart Beta Here! Dividend Growth Stocks as ‘Strategic Beta’ Investments.
Market and Company Information

U.S. Securities and Exchange Commission: Market Structure.
Yahoo! Finance.
Mergent Online (Note: This resource is also available through the Strayer Learning Resource Center.)
Seeking Alpha (Note: This is also available through the Android or iTunes App store.)
Morningstar (Note: You can create a no-cost Basic Access account.)
Research Hub, located in the left menu of your course in Blackboard.
This assignment will be 6–8 pages including points 1 and 2 from Part 1 completed in Week 7.

Include your rationale, primary reasons for stock selection, and client’s profile from Part 1, making any revisions based upon Part 1 feedback if applicable.
Select any five financial ratios that you have learned about in the text. Analyze the past 3 years of the selected financial ratios for the company; you may obtain this information from the company’s financial statements. Determine the company’s financial health. (Note: Suggested ratios include, but are not limited to, current ratio, quick ratio, earnings per share, and price earnings ratio.)
Based on your financial review, determine the risk level of the stock from your investor’s point of view. Indicate key strategies that you may use in order to minimize these perceived risks.
Provide your recommendations of this stock as an investment opportunity. Support your rationale with resources, such as peer-reviewed articles, material from the Strayer University Library, and reviews by market analysts.
Conduct a literature review and list at least five quality academic resources. Note: Wikipedia and other similar websites do not qualify as academic resources.
This course requires the use of Strayer Writing Standards. For assistance and information, please refer to the Strayer Writing Standards link in the left-hand menu of your course. Check with your professor for any additional instructions.

The specific course learning outcome associated with this assignment is as follows:

Create investment recommendations based on research that includes the rationale and risk mitigation for the chosen strategies.

Critically assess the “Global disaster” also known as the Subprime Lending Fiasco.

Critically assess the “Global disaster” also known as the Subprime Lending Fiasco. Could this fiasco be avoided and how?

Examine how risks arising from misconduct could adversely affect outcomes not just for consumers but also for citizens and societal stakeholders.

Question: Using the example of one real and significant failure of a UK regulated firm’s behaviours in the financial sector, to illustrate your arguments, examine how risks arising from misconduct could adversely affect outcomes not just for consumers but also for citizens and societal stakeholders.

Ensure you pick a UK firm(e.g Barclays) not a company from another country.

The lecturer has asked to make an annotated reference list, so for every source that you use please write a sentence as to how this source has been useful to you.

Marks will be awarded for essay content, quality of critical analysis, quality of engagement with scholarly references and essay style and structure. The content, critical analysis and engagement with scholarly works forms the focus
of marking but it is often quite difficult to develop a well-directed and well- argued essay if there are weaknesses in structure, editing or phrasing. So please allocate enough time to do the research
To do well in this assessment, you must:
• demonstrate that you have understood the concept of misconduct and are
able to apply this concept to real examples,
• select a relevant UK example of conduct failure that effectively illustrates
the different aspects of the arguments you wish to make
• demonstrate that you have fully understood why and how societal
stakeholder / citizen detriment occurs in the context of the example you
have selected .
• evidence the above overtly and specifically through the development of
your argument
• demonstrate that you have independently and critically engaged with a
range of references from the scholarly literature in a credible manner
• use a suitable essay structure and appropriate grammar and relevant
subject-specific vocabulary to demonstrate your knowledge of the subject matter

Font size 14. Single spaced text with line spacing of at least 1.5.

The minimum word count is 2700 words.

Minimum sources should be 15 and maximum 30.