Corporate Finance

Suggested Role Division

For Instructor’s Use only

Important Guidelines –Please read carefully

General Instructions

• Submit the assignment through Blackboard (Word format only) via the designated folder.
• Submissions via email or late submissions will not be accepted.
• Make sure your work is clear, well‑structured, and includes your complete details on the cover page.
• Plagiarism or use of AI-generated content will result in a grade of zero.

• All answers must be typed in Times New Roman (size 12, double‑spaced).

Activity:Practical Application of Corporate Finance

In corporate finance, companies make key decisions about capital structure, cost of capital, and investment efficiency. These decisions affect how a firm manages risk and creates value for shareholders. In Saudi Arabia, corporate finance supports Vision 2030 by promoting sustainable growth and effective financial management. This group project helps students apply these concepts to real or hypothetical Saudi companies.
Based on this context, prepare a report addressing the following parts:

1. Part 1: Project Concept and Relevance: Explain the selected company or idea and its connection to the Saudi economy or financial context. Highlight the purpose of the analysis and how corporate finance principles guide decision-making.

2. Part 2: Financial Analysis and Calculations:Apply key concepts such as WACC, cost of debt, and cost of equity using hypothetical data. Present the formulas and interpret the results briefly and clearly.

3. Part 3: Evaluation and Interpretation:Discuss what the results show about the company’s performance, financial efficiency, and risk. Explain how these findings influence investment or financing decisions.

4. Part 4: Recommendations and Conclusion: Provide practical recommendations to improve the capital structure, reduce the cost of capital, or increase shareholder value. Conclude by linking the findings to corporate finance theory and Vision 2030.

Exception: If a group consists of three members, Part D (Recommendations and Conclusion) may be omitted. The main conclusions should be briefly summarized in the final paragraph of the report. This adjustment will not affect grading, as the remaining sections cover all essential components of the project.

Group Assignment Guidelines

This is a group assignment consisting of four students per group. Each student is responsible for completing one of the four parts above. After all members finish their individual sections, the group must cooperate and integrate the content into a single cohesive report that includes an introduction, the four body sections, and a conclusion.
Each student should ensure their part is unique, avoids duplication, and complements the contributions of their group members.

Presentation Guidelines

Each group will deliver a short presentation (up to 12 minutes) summarizing their report and key findings.

• Four marks will be allocated for the overall quality, organization, and clarity of the presentation.

• Three marks will be awarded based on each student’s ability to clearly explain their own section and respond to questions related to it.

• Three marks will be awarded for each student’s understanding of the other sections prepared by group members, including the introduction and conclusion, demonstrated through answering related questions.

Note: Slides used during the presentation should be included as images at the end of the report.

Total: 10 marks for the written report + 10 marks for the presentation (20 marks overall).

Restricted – مقيد