JWI 531: Financial Management II
Assignment 2
© Strayer University. All Rights Reserved. This document contains Strayer University confidential and proprietary information and may not be copied,
further distributed, or otherwise disclosed, in whole or in part, without the expressed written permission of Strayer University. This document is subject to
change based on the needs of the class.
JWI 531 – Assignment 2 (1244) Page 1 of 3
Assignment 2: Performance Management and Valuation
Due: Monday, 9:00 am (eastern), Week 7 (18% of final grade)
The risk analysis work you did in the first assignment was a great start. It helped to paint a picture of
where NVIDIA (NASDAQ: NVDA) and Intel (NASDAQ: INTC) are in their corporate lifecycles, the threats
and opportunities each faces, and the defensibility of their economic moats – a metaphor that Buffett loves
to use.
In this assignment, you will continue your analysis by comparing key performance management metrics of
our two companies, identifying areas of relative strength and weakness, and suggesting ways that each
company could improve, thereby increasing its valuation. To do this, you will examine trends in order to
identify variances and comparisons to: (1) establish benchmarks, (2) identify best practices, and (3) look
for signs of superior performance. This analysis is critical in determining the value of each company, as
well as evaluating whether potential acquisition or merger opportunities exist which could create greater
value and synergies than those of operating the companies as separate entities.
Instructions
To prepare, reread the Morningstar Analyst’s Report and the most recent annual reports for both
companies with a particular focus on the Income Statement and Statement of Cash Flows.
A. Complete the Assignment 2 Worksheet to compare key performance metrics and ratios for both
companies in order to see how performance can be impacted by manipulating certain financial
levers. The guidance for this is found in Chapters 5 & 6 of The CFO Guidebook.
B. Summarize your Analysis and Recommendations by answering the following questions:
i. Performance Metrics:
a. Which company is a more efficient generator of income?
b. Which company is growing faster?
c. Using financial health ratios, which company is more profitable?
d. Which company has stronger valuation ratios?
e. Overall, which is the better run company and why?
ii. Merger Synergies:
a. If there was an acquisition, which company is the most likely acquirer? Why?
b. Would you recommend a merger or acquisition to increase the moat strength of the
combined companies? Why or why not?
• If you support a merger or acquisition, identify 3 performance metrics that could
be improved by a merger and explain how they would be improved. Guidance for
this is found in Chapter 6 of The CFO Guidebook.
JWI 531: Financial Management II
Assignment 2
© Strayer University. All Rights Reserved. This document contains Strayer University confidential and proprietary information and may not be copied,
further distributed, or otherwise disclosed, in whole or in part, without the expressed written permission of Strayer University. This document is subject to
change based on the needs of the class.
JWI 531 – Assignment 2 (1244) Page 2 of 3
• If you do not support a merger or acquisition, explain your rationale and why the
value of each company is best preserved/increased by remaining separate. The
guidance for this is found in Chapter 6 of The CFO Guidebook.
Submission Requirements
A. Complete and submit the Assignment 2 Worksheet component of the Workbook, along with your
written work for Part B, through the assignment link in Canvas.
B. Format your written responses for Analysis and Recommendation as follows:
• Typed, double-spaced, professional font (size 10-12), including headings and subheadings (to
identify main topics and subtopics), with one-inch margins on all sides.
• References must be included and provide appropriate information that enables the reader to
locate the original source.
o Application and analysis of course materials and resources is expected.
o At least one additional source beyond the course materials must be cited to support
your analysis and recommendations.
• Include a cover page containing the title of the assignment, your name, the professor’s name,
the course title, and the date.
• The maximum length is 4 pages, excluding your cover page, completed worksheets, and
reference list.
JWI 531: Financial Management II
Assignment 2
© Strayer University. All Rights Reserved. This document contains Strayer University confidential and proprietary information and may not be copied,
further distributed, or otherwise disclosed, in whole or in part, without the expressed written permission of Strayer University. This document is subject to
change based on the needs of the class.
JWI 531 – Assignment 2 (1244) Page 3 of 3
RUBRIC
Weight: 18% of
Course Grade
Assignment 2:
Performance Management and Valuation
CRITERIA Honors High Pass Pass Low Pass Unsatisfactory
1. Complete the
assignment
worksheet
Weight: 30%
Submitted
worksheet had
90% or higher
correct data sets.
Submitted
worksheet had
between 80%
and
89% correct
data sets.
Submitted
worksheet had
between 70%
and 79% correct
data sets.
Submitted
worksheet had
between 60%
and 69% correct
data sets.
Did not submit
worksheet or had
fewer than 60%
correct data sets
entered.
2. Present
synopsis of
data
Weight: 30%
Data synopsis
was excellent;
accurately
highlighted key
data presented in
both annual
reports and third-
party sources.
Synopsis was
very good;
focused on the
most critical
elements with
only minor
elements
unclear/missing.
Synopsis was
good; provided
general snapshot
of key data, but
did not focus on
the most critical
elements.
Synopsis was
overly simplistic;
restated the data,
but did not
provide a
coherent
overview.
Synopsis was
missing,
incomplete,
inaccurate, or did
not align with
data.
3. Present and
defend sound
recommended
finance
strategies
Weight: 30%
Presented and
defended
excellent finance
strategies;
exemplary
connection to
core finance
principles and to
real-world
circumstances.
Excellent
consideration of
viable options
with very clear
rationale for why
options were not
chosen.
Presented and
defended very
good finance
strategies; solid
connection to
core finance
principles and to
real-world
circumstances.
Very good
consideration of
viable options
with good
rationale for why
options were not
chosen.
Recommended
strategies were
good, but lacked
clarity on how
they could be
implemented to
drive outcomes.
Addressed other
options, but was
unclear why
these were not
chosen.
Recommended
strategies were
basic or were not
supported by data
and analysis or
tied to desired
outcomes. Made
minimal reference
to options, but did
not explain why
these were not
recommended.
Recommended
strategies were
missing,
superficial,
and/or were not
supported by
data and
analysis. No
options were
presented.
4. Include
appropriate
citations and
use
professional
writing
standards
Weight: 10%
Citations and
references to
both course
materials and
additional
sources were
properly
documented; free
from grammatical
and formatting
errors; adhered
to maximum
length.
Citations and
references to
both course
materials and
additional
sources were
properly
documented;
contained minor
grammatical and
formatting errors.
Citations and
references to
both course
materials and
additional
sources were
properly
documented;
contained some
grammatical and
formatting errors.
Included some
citations and
references to
course materials,
but failed to cite
for several key
references;
contained
distracting
grammatical or
formatting errors.
No citations
provided and/or
references to
course materials
were missing or
did not support
key content in
submission;
numerous writing
mistakes.
