Management Information System

Requirements: 2 pages
Part 1
Instructions for assignment # 1
There are four items of information needed to complete this assignment:

1. Find out the ticker under which your company’s stock trades.

2. Find the NAICS code for your primary industry.
3. Is the CEO also the Chairman of the Board? (Yes/No answer)
4. The % of insiders that are on the Board of Directors of the firm.
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Instructions for Common Sizing Financial Statements Used in Assignment 2
Open a new workbook in Excel.
Make sure that there are 3 sheets available. Insert new one(s) if necessary.
Open your financial statements and copy and paste one page at a time each of the three statements: Income Statement, Balance Sheet, and Cash Flows.
Relabel the sheets and save the excel workbook as Your Last name__ Common Sized “company name”.
For example: Bella_ Common_Sized_Lockheed.xls
To Common size the Income statement:
Insert a column to the right of each year’s data.
If there are footnote numbers in the next column, either delete the footnote numbers or insert the new column after the one with the footnote numbers. Label each column, Common Size 2020, Common Size 2019, etc. Note your data may begin with 2019, not 2020.
Format each new column to be % with two decimals. Eg. 72.24%
In first cell of each new column, type =cell address of first item/permanent cell address of net sales. Permanent cell address for example is: $A$1
Pull down the formula from the bottom right corner or double click at the bottom right corner and it will paste the formula until it reaches a break in the data. Continue down the column through net earnings. Do not common size earnings per share or what follows. If you have some cells that say VALUE….just delete those.
Make sure to check your work before continuing to the next step. If the percent for net sales common sized isn’t 100% there is a mistake in the formula.
Next, calculate the change in the percentages from last year to the year before. To do this, skip a column and label.
Working down the column to net income to calculate the differences in the common sized percentages.
Also calculate the percentage change from last year to this year for EPS. You use the formula (new-old)/old
See the example in the Lockheed spreadsheets.
To Common size the Balance Sheet:
Insert a column to the right of each year’s data.
If there are footnote numbers in the next column, either delete the footnote numbers or insert the new column after the one with the footnote numbers. Label each column, Common Size 2020, Common Size 2019, etc. Note your data may begin with 2019, not 2020.
Format each new column to be % with two decimals. Eg.79.24%
In first cell of each new column, type =cell address of first item/permanent cell address of total assets. Permanent cell address for example is: $A$1
Pull down the formula from the bottom right corner or double click at the bottom right corner and it will paste the formula until it reaches a break in the data. Continue down the column through net earnings. Do not common size earnings per share or what follows. If you have some cells that say VALUE….just delete those.
Make sure to check your work before continuing to the next step. If the percent for total assets, total liabilities and shareholders’ equity common sized aren’t 100% there is a mistake in the formula.
Next, calculate the change in the percentages from the last year to the year before. To do this, skip a column and label.
Working down the column, calculate the differences in the common sized percentages.
To Analyze the Cash Flow Statement:
DO NOT COMMON SIZE! Only calculate the percentage differences. Insert a column to the right of the last year of data. Calculate the percentage change for the last two years only. Label the column eg. “Percentage changes from 2020 to 2019”

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