The written final report will ultimately recommend to the investment firm which of the two companies should be considered for acquisition purposes. You will support the reasons for recommending your choice by performing the necessary financial analysis and answering the questions below. The more detail and depth you include in your analysis, the better. I expect you to do a good job of explaining your position. I will not tell you how to do the project, as I want you as a group to develop your own best methods Make sure to use what you have learned to determine what you feel the stock value is. Looking at the Book Value and the current value of future EPS. Once you have what you feel the value of the stock should be you will compare that to what it is currently trading for to help determine your recommendation. Stock Value = Common Stock Value + Retained Earnings Per Share + Present Value of future EPS (usually 7-10 years) Resources required for the project: The report must be a minimum of 5 pages, a maximum of 8, and it must be type-written using MS Word or comparable software, no more than 12-point font and double-spaced with margins of no more than one inch. (you may add supporting financials if needed beyond the 5 pages)
