1-This project aims at improving students skills that are related to understanding, preparing and analyzing financial statements.
2-The project is free case. This means the student will be free to select published financial statements (annual report) of any company from newspapers, websites or any other sources. According to this project, the student will be liable to copy the income statement and the balance sheet (for two years, the current and the last) from the annual report into an Excel sheet.
3-Student will act as a credit manager in a bank and has to decide whether to grant the selected company a loan or not based on the evaluation of the financial statements of the selected company using ratio analysis (debt ratio and current ratio ONLY) for the current and last year.
4-This project is based on the philosophy of e-tables (Excel), so students have to use formulas (addition, subtraction, multiplication and division) to build each financial statement and to link the cells to each other when necessary. Submission without using formulas and linking cells in the Excel sheet will lose some marks.
5-This is an individual assignment and every student should choose a different company and to register the chosen company in his name with his tutor. Company could be a local, foreign or international, Qatari or non-Qatari company. Please DONT choose BANKS or FINANCIAL INSTITUTIONS (e.g. insurance companies). You can get the annual report from the companys website, Stock exchange website, or any other website but you MUST cite the source of your information (reference).
6-The total marks assigned for this project is 10 marks. Project marks will distributed as follows:
Income statement- 3marks
Balance sheet- 3 marks
Financial ratios and the credit decision making- 2 marks
Using formulas and linking cells in the Excel sheet- 2 marks
7-The submission of this project (ONLY Excel sheet)
8-Attached to these instructions an Excel sheet that you can use as an example for this project.
Decide whether to grant the selected company a loan or not based on the evaluation of the financial statements of the selected company using ratio analysis (debt ratio and current ratio ONLY) for the current and last year.