Assignment Details
Back in 1920, the management at DuPont Corporation developed
Assignment Details
Back in 1920, the management at DuPont Corporation developed a model called the DuPont analysis to assess the company’s return on equity (ROE) accurately. Although ROE is a true bottom-line measure of performance, it can be decomposed to reveal even more detailed information about a company.
Review the following videos before answering the assignment:
Corporate Financial Statement Analysis: Return on Equity https://www.linkedin.com/learning/corporate-financial-statement-analysis/return-on-equity?resume=false&u=70039330
Corporate Financial Statement Analysis: The DuPont Framework https://www.linkedin.com/learning/corporate-financial-statement-analysis/the-dupont-framework?resume=false&u=70039330
Describe the benefits of the DuPont analysis to deconstruct a firms ROE. Utilizing MSN Money or Yahoo Finance, choose a real company and locate its most recent financial statements. Include the following in your analysis:
Identify and record key profitability ratios, including ROE
Decompose the ROE with the DuPont analysis
Discuss the implications found based on the dissection of ROE with the DuPont analysis
Compare the decomposed ratios to the industry
Provide recommendations to the company based on your analysis
Submitting your assignment in APA format means, at a minimum, you will need the following:
Title page: Remember the running head. The title should be in all capitals.
Length: 5 pages minimum
Body: This begins on the page following the title page and must be double-spaced (be careful not to triple- or quadruple-space between paragraphs). The typeface should be 12-pt. Times Roman or 12-pt. Courier in regular black type. Do not use color, bold type, or italics, except as required for APA-level headings and references. The deliverable length of the body of your paper for this assignment is 5 pages. In-body academic citations to support your decisions and analysis are required. A variety of academic sources is encouraged.
Reference page: References that align with your in-body academic sources are listed on the final page of your paper. The references must be in APA format using appropriate spacing, hanging indent, italics, and uppercase and lowercase usage as appropriate for the type of resource used. Remember, the Reference page is not a bibliography but a further listing of the abbreviated in-body citations used in the paper. Every referenced item must have a corresponding in-body citation.
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