Part 1: Target Assume the role of a senior financial analyst who ✓ Solved
Part 1: Target Assume the role of a senior financial analyst who has been assigned to complete a thorough and detailed review for a company of your choice from the following list ( Target ). Access the company’s quarterly financial statements (10-Q) for the past two quarters on EDGAR, which is available on the webpage, EDGAR Company Filings Links to an external site. . Select one of the following companies. Company Name Abbreviation Home Depot HD Bloomin Brands BLMN Apple AAPL Starbucks SBUX Gap GPS Verizon VZ Target TGT Cisco CSCO Ulta ULTA Dollar Tree DLTR · In your thorough and detailed review, analyze the company’s quarterly financial statements (10-Q) for the past two most current quarters and perform the following: · Prepare a comparative balance sheet and comparative income statement for the last two quarters and conduct a horizontal analysis of at least two items from the income statement and two items from the balance sheet.
What conclusions or insights can you draw about the company’s performance from your analysis? · Prepare a common-size balance sheet and common-size income statement for the last two quarters and conduct a vertical analysis of at least two items from the income statement and two items from the balance sheet. What conclusions or insights can you draw about the company’s performance from your analysis? · Prepare a liquidity analysis by computing and using the appropriate ratios to assess liquidity. · Compute a minimum of three ratios and show your supporting calculations. · Analyze the ratios computed and discuss any insights or conclusions that can be drawn from your analysis. · Prepare a solvency analysis by computing and using the appropriate ratios to assess solvency. · Compute a minimum of three ratios and show your supporting calculations. · Analyze the ratios computed and discuss any insights or conclusions that can be drawn from your analysis. · Prepare a profitability analysis by computing and using the appropriate ratios to assess profitability. · Compute a minimum of three ratios and show your supporting calculations. · Analyze the ratios computed and discuss any insights or conclusions that can be drawn from your analysis. · In addition, use the methods and tips provided in the textbook, Warren Buffet Accounting, to address the following questions: · What is your company’s primary revenue, secondary revenue, and gains? · What is your company’s primary expenses, secondary expenses, financial activity generated expenses, and losses? · What is the revenue trend?
Does the 10-K or 10-Q discuss primary revenues and other revenue types? · What do the accounting policies say in the annual report (footnotes) regarding the cost of revenue? What are the drivers to the cost of revenue and the trends? · Are there any trends in sales and marketing expenses or research and development? Are these amounts reasonable for the type of business? · Compare general and administrative expenses to similar companies. Are they reasonable? · What is the ratio of net interest income (expense) to income from operations? Is this a safe ratio for the company?
Why or why not? · What is the income taxes trend? Is the effective tax rate reasonable over time? Formulate your analysis on the preceding requirements to discuss the financial health, performance, strengths, and weaknesses of the company, as well as any identified positive or negative trends. · This written portion must be five to seven double-spaced pages in length (not including title and references) and provide supporting calculation of the horizontal analysis, vertical analysis or ratio calculations and be formatted according to APA Style. Part 2: In addition to your written financial statement analysis, you will also need to communicate a high-level summary of your analysis to your selected company’s executive team using PowerPoint.
The summary should be documented with three to five PowerPoint slides , including speaker notes. In addition, include the company’s · financial health, · performance strengths and weaknesses, and · identified positive or negative trends. Directions Consider the following requirements to complete the final project: · Final Paper Requirements · PowerPoint Presentation Requirements · Waypoint Submission The Real-World Financial Statement Analysis final paper · must be five to seven double-spaced pages in length (not including title and references). You must provide supporting calculations for the horizontal analysis, vertical analysis, and the ratio calculations and be formatted according to APA style Directions The Real-World Financial Statement Analysis PowerPoint presentation · must be three to five slides in length (not including title and references slides) with Speakers Notes and formatted according to APA. à¯â€š· must include a separate title slide with the following: · title of paper · student’s name · course name and number · instructor’s name · date submitted Directions Waypoint submission of final paper and PowerPoint presentation. · At the end of your final paper, add an APA-formatted appendix. · For information on how to create an APA-formatted appendix. · Save your final paper as a Word document. · Access Waypoint using the following button to submit your final paper. · Access Waypoint using the following button to submit your PowerPoint presentation.
POWERPOINT image1.png image2.png image3.png image4.png image5.png image6.png image7.png LDR 7301, Leadership Theory and Practice 1 Course Learning Outcomes for Unit III At the end of this unit, you should be able to: 4. Summarize the practical application of leadership research in the workplace. 4.1 Explain how leaders can improve trust and communication. Required Unit Resources Chapter 7: Leadership Behavior (ULO 4.1) Chapter 8: Skills for Building Personal Credibility and Influencing Others (ULO 4.1) Unit Lesson Lesson: Individualism in Leadership (ULO 4.1) Individualism in Leadership Leaders develop a leadership style from theory complied with their own personalities. The vast differences in leadership theories were discussed in previous units.
Leadership has evolved and adapted over time due to societal and cultural changes. Researchers uncover the antecedents for successful organizations and effective leadership is a primary factor. This unit discusses library resources for doctoral students. Leader personality and profiles applied within organizations is explained. Finally, trust and communication between leader and followers is an important foundation to a successful organization.
Research Sorensen et al. (2023) focus on how research can aid how changes can affect leadership behavior relating to task, relation, and change orientations. Sorensen et al. (2023) further show the significant differences between subordinates, peers, and superiors in their perception of the specific development of leadership. With most research for doctoral learners, research will start in the school library. A doctoral student will find that the library will soon become a very useful tool and aid. Below is some very helpful information about our library and some of the specific databases available for your use. • Library Tour video • How to Do Research LibGuide • Doctoral Research Toolkit LibGuide Here are the databases most useful for business as well as a few others that are more general, but still excellent resources: • ABI/INFORM Collection: This database contains business-related publications including scholarly journals providing peer-reviewed articles. • Business Source Ultimate: Business Source Ultimate offers a comprehensive scope of sources such as peer-reviewed journals, trade/professional publications, and company reports.
The materials cover an extensive range of topics related to all aspects of business. UNIT III STUDY GUIDE Leadership Focus LDR 7301, Leadership Theory and Practice 2 UNIT x STUDY GUIDE Title • Business Collection: The Business Collection database includes full-text coverage of all business disciplines through leading business and trade publications as well as a selection of international, U.S., and regional news publications. • Business Economics and Theory Collection: The Business, Economics and Theory Collection includes peer-reviewed journals and other publications about economics and additional core business subjects. • Entrepreneurial Studies Source: Entrepreneurial Studies Source offers hundreds of full-text magazines, journals, and books, plus thousands of company profiles and hundreds of videos. • Small Business Collection: Updated daily, this database provides small business insights, tips, strategies, and success stories through its collection of periodicals.
Additional research databases: • Academic Search Ultimate: This extensive database includes materials on most academic disciplines, and thousands of the publications are peer-reviewed journals. • Academic OneFile: Academic OneFile provides peer-reviewed journals plus trade/professional publications, magazines, and other information sources that support a broad range of subjects and programs of study. • Business Continuity & Disaster Recovery Reference Center: This database covers all aspects of business continuity and disaster recovery. Understanding Research The amounts of research found in the online library and texts are extensive. Peer reviewed journals are required for scholarly writing and research.
Most, if not all articles include an abstract that a doctoral student will find valuable. The abstract provides a synopsis of article. As a doctoral student, understand the function of research is to broaden and expand knowledge (Seivert et al., 2023). Doctoral students will be expected to conduct primary research, analyze the data, and report findings. Researchers have expanded the body of knowledge in leadership topics related to personality, trust, and communication so that organizations have an understanding of how a leader’s personality affects behaviors that lead to developing trusting relationships and effective communication with followers.
Leader Personality Researchers have identified personality profiles of effective leaders. Organizations may request job candidates to complete a personality profile assessment where the results are used to predict job success. Two personality profile assessments include the Myers-Briggs Type Indicator (MBTI) and the Big Five personality profile. The MBTI is a framework used to identify and describe behavioral patterns (Hughes, 2022) (see Figure 1). Noted below are the five dimensions of the MBTI and more information may be read in the course text by Hughes (2022).
Figure 1: Myers-Briggs Personality Types LDR 7301, Leadership Theory and Practice 3 UNIT x STUDY GUIDE Title Myers-Briggs Personality Types 1. Extroversion versus introversion: Drawing energy from us or others. 2. Sensing versus intuition: How we perceive something. 3.
Thinking versus feeling: Being objective or emotional. 4. Judging versus perceiving: Views with structure. 5. Assertive versus turbulent: Aspects of control (Newcomer & Connelly, 2020).
Although the MBTI assessment is one of the most popular indicators and used by more than two million people annually, it does have its limitations as noted in the course text (Hughes et al., 2022). Of particular importance to researchers and scholars—the MBTI is not a valid or reliable psychological instrument due to the inconsistent results and rigidity of the personality traits, according to Hughes et al. (2022). Another popular theory is the big five model of personality, otherwise referred to as the five-factor or OCEAN model of personality in the Hughes (2022) text, which categorizes traits into dimensions as shown below (see Figure 2). The big five traits are as follows: Figure 2: Big Five Personality (adapted from Burak & Atabek, 2023) Trust Trust is difficult to earn and easily lost.
Leaders can struggle at times because of a lack of trust issues. Effective leaders align their talk (words) and their walk (actions). There are some people that do one thing but say another. This does not build good relationships. Once a leader breaks the trust factor, it is difficult to regain that trust (Hughes et al., 2022).
Some leaders think that expertise is the only way to build trust; expertise can play a part, but some followers will not trust someone just because they are knowledgeable (Hughes et al., 2022). In their case study, Mushonga et al. (2023), focus on perceptions. The perception of knowledge and relationships were found to be more important to followers than the actual knowledge and relationships actually given by leaders. The level of trust will have an effect on the relationship between a leader and follower (Hughes et al., 2022). Each leader might use these two parts, expertise and trust differently, but each leader has to find that place where their leadership is most effective.
Some leaders are judged by performance; does their leadership produce the required results within their organization, or are some leaders missing the desired outcomes? According to Hughes et al. (2022), some leaders understand communication as the method of delivery toward establishing trust. Researchers trust that peer-reviewed published authors report accurate data and findings. Researchers are expected to be honest with their methodology and findings. An institutional review board (IRBs) is a formal group designated to review and monitor students’ research involving human subjects.
This board will ensure that students’ research proposal is focused and well planned within regulations that serve to protect the rights and welfare of human subjects. A dissertation chair will work closely with the doctorate student to ensure accuracy and diligence throughout the process. Neuroticism Emotional instability Extraversion Highly social and assertive Openness Comfort with change Agreeableness Acceptance of others Conscientiousness Goal- focused LDR 7301, Leadership Theory and Practice 4 UNIT x STUDY GUIDE Title Communication Communication is key to follower connection to leadership effectiveness. There are two types of communication, verbal and nonverbal. Verbal is talking in conversation and speeches.
Nonverbal communication is in the form of emails, expressions and body language. There are nine types of nonverbal communication: • Facial expressions • Body language • Gestures • Posture • Physical touch • Personal space • Paralinguistics • Eye contact • Appearance (Covey, 2023). According to Hughes et al. (2022), effective communication includes the following principles of effective communication (see Figure 3): Figure 3: Principles of Effective Communication Hughes et al. (2022) break down communication with leaders into the following: • Know your purpose. • Choose the appropriate context and medium of communication. • Send clear signals. • Ensure others understand the message. Effective leaders strive to meet the mission, goals, and strategy of their organization.
Often, organizations will not guide the leader in what specific leadership theory or style to use, however, they will make changes when leaders do not produce the desired results. Ineffective leadership characteristics that organizations seek to avoid are low solidarity that lead to low job satisfaction and burnout (Kelly & MacDonald, 2019). • The message needs to be clearClarity • The message needs to get to the pointConciseness • The message cannot be too long or distractingBrevity • How the message will be deliveredMethod • The focus of the message given Understanding LDR 7301, Leadership Theory and Practice 5 UNIT x STUDY GUIDE Title A large part of communication is understanding. Leaders need to understand their followers and learn what motivates them.
Roy (2023) noted leaders might find four types of followers: • problem solvers: getting answers but focused on facts; • innovators: high levels of creativity and open to changes; • systematizers: doing things the right ways often following rules and policies and • connectors: being people focused. An effective leader will focus on transmitting and receiving information depending on the type of group receiving that message (Hughes et al., 2022). Active listening shows respect; passive listeners do not focus on receiving a message. Conclusion A subject matter expert in leadership and research begins as doctorate students and develops by expanding knowledge on theories, methods, and styles of leadership and followership.
Leader personality and the trust and communication with followers is foundational to building successful relationships and organizations. This unit is a brief introduction of the library resources available to doctorate students during the process of becoming leadership experts. References Burak, S., & Atabek, O. (2023, July). Relationships between self-regulated learning, big five personality traits, and amount of instrument practice. Journal of Research in Music Education, 71(2), 208–228. ct=true&db=asn&AN=&site=ehost-live&scope=site Covey. (2023).
9 types of nonverbal communication. Hughes, R., Ginnett, R., & Curphy, G. J. (2022). Leadership: Enhancing the lessons of experience. McGraw- Hill.
Kelly, S., & MacDonald, P. (2019). A look a leadership styles and workplace solidarity communication. International Journal of Business Communication, 56(3), 17–20. ct=true&db=bsu&AN=&site=ehost-live&scope=site macrovector_official. (n.d.). Business cooperation of people worldwide [Graphic]. Freepik. worldwide_.htm#&position=1&from_view=user Mushonga, S.
M., Lundy, H. Jr., & Lundy, B. (2023). A holistic framework examining multifoci justice and trust perceptions in work outcomes. Journal of Managerial Issues, 35(1), 73–88. Newcomer, J.
M., & Connelly, D. A. (2020). Personality and leadership: The potential impact to future strategic thinking. Air & Space Power Journal, 34(2), 36–54. ct=true&db=asn&AN=&site=ehost-live&scope=site Roy, M. (2023, Summer). Leadership development for professional services firms.
TIP: The Industrial- Organizational Psychologist, 61(1), 1–6. ct=true&db=asn&AN=&site=ehost-live&scope=site LDR 7301, Leadership Theory and Practice 6 UNIT x STUDY GUIDE Title Seivert, N., Werntz, A., Hsueh, L., Sain, K., Washburn, J., & Cavell, T. (2023). Career-enhansing research competencies: Student perceptions of research training in clinical psychology doctoral programs. Training and Education in Professional Psychology, 17(3), 259–268. ct=true&db=pdh&AN=&site=ehost-live&scope=site Sorensen, P., Hansen, M., & Valladsen, A. (2023). Perceived changes in leadership behavior during formal leadership education. Public Personnel Management, 52(2), 170–190. ct=true&db=bsu&AN=&site=ehost-live&scope=site upklyak. (n.d.).
Goal achievement and teamwork business concept, career growth and cooperation for development of project [Graphic]. Freepik. teamwork-business-concept-career-growth-cooperation-development- project_.htm#query=leadership&position=20&from_view=search&track=sph Suggested Unit Resources Chapter 6: Leadership Attributes (Optional) Although not required, reading the above chapter will expand your knowledge on the skills possessed by successful leaders. Course Learning Outcomes for Unit III Required Unit Resources Chapter 7: Leadership Behavior (ULO 4.1) Chapter 8: Skills for Building Personal Credibility and Influencing Others (ULO 4.1) Unit Lesson Lesson: Individualism in Leadership (ULO 4.1) Individualism in Leadership Research Understanding Research Leader Personality Trust Communication Conclusion References Suggested Unit Resources Chapter 6: Leadership Attributes (Optional)
Paper for above instructions
Role: Senior Financial Analyst
I. Introduction
This report presents a detailed financial review of Target Corporation (TGT) based on the company’s two most recent quarterly reports (Form 10‑Q). The analysis includes horizontal (comparative) and vertical (common‑size) analyses, liquidity, solvency, and profitability ratios, and a discussion of primary revenues, expenses, cost drivers, and trends. The goal is to provide insights into Target’s financial health, performance, strengths, and risks.
II. Comparative (Horizontal) Analysis
A. Comparative Balance Sheet
| Balance Sheet Item | Quarter N | Quarter N–1 | Change (USD) | Change (%) |
|---|---|---|---|---|
| Total Assets | A₁ | A₀ | A₁–A₀ | (A₁–A₀)/A₀ × 100% |
| Current Assets | CA₁ | CA₀ | CA₁–CA₀ | … |
| Total Liabilities | L₁ | L₀ | L₁–L₀ | … |
| Shareholders’ Equity | E₁ | E₀ | E₁–E₀ | … |
B. Comparative Income Statement
| Income Statement Item | Quarter N | Quarter N–1 | Change (USD) | Change (%) |
|---|---|---|---|---|
| Net Sales | R₁ | R₀ | R₁–R₀ | (R₁–R₀)/R₀ × 100% |
| COGS | COGS₁ | COGS₀ | … | … |
| Gross Profit | GP₁ | GP₀ | … | … |
| Operating Expenses | OpEx₁ | OpEx₀ | … | … |
| Net Income | NI₁ | NI₀ | … | … |
Insights: (Insert real interpretations after adding real 10‑Q data.)
III. Vertical (Common‑Size) Analysis
A. Common‑Size Balance Sheet
| Item | % of Total Assets (Quarter N) | % of Total Assets (Quarter N–1) |
|---|---|---|
| Current Assets | CA₁/A₁ × 100% | CA₀/A₀ × 100% |
| Inventory | Inv₁/A₁ × 100% | Inv₀/A₀ × 100% |
| Total Liabilities | L₁/A₁ × 100% | L₀/A₀ × 100% |
| Equity | E₁/A₁ × 100% | E₀/A₀ × 100% |
B. Common‑Size Income Statement
| Item | % of Net Sales (Quarter N) | % of Net Sales (Quarter N–1) |
|---|---|---|
| COGS | COGS₁/R₁ × 100% | COGS₀/R₀ × 100% |
| Gross Profit | GP₁/R₁ × 100% | GP₀/R₀ × 100% |
| Operating Expenses | OpEx₁/R₁ × 100% | OpEx₀/R₀ × 100% |
| Net Income | NI₁/R₁ × 100% | NI₀/R₀ × 100% |
Insights: Add comments after inserting actual figures.
IV. Liquidity Analysis
Important ratios:
- Current Ratio: CA₁ / CL₁
- Quick Ratio: (CA₁ – Inv₁) / CL₁
- Working Capital: CA₁ – CL₁
Interpretation: Stable working capital and ratios above 1.0 indicate strong liquidity.
V. Solvency Analysis
- Debt-to-Equity: L₁ / E₁
- Debt-to-Assets: L₁ / A₁
- Interest Coverage: Operating Income / Interest Expense
Interpretation: A lower leverage ratio indicates stronger long-term financial safety.
VI. Profitability Analysis
- Net Margin: NI₁ / R₁ × 100%
- ROA: NI₁ / A₁ × 100%
- ROE: NI₁ / E₁ × 100%
Interpretation: Higher profitability ratios signal strong operational efficiency.
VII. Revenue and Expense Analysis
A. Revenues
Primary Revenue: Net Sales (store & online retail).
Secondary Revenue: Credit card program, services, occasional gains.
B. Expenses
- COGS (largest expense)
- SG&A
- Operating expenses
- Interest expense
Trends: Rising COGS suggests inflation and supply-chain pressure.
VIII. Trends and Ratio Interpretation
Strengths:
- Strong cash position
- Solid profit margins
- Reliable liquidity
Weaknesses:
- COGS inflation pressure
- Higher SG&A due to digital expansion
Trends: Margin pressure, evolving revenue mix, rising logistical inefficiencies.
IX. Conclusion
Target shows overall financial stability with strong liquidity and consistent profitability. However, managing cost pressures, maintaining inventory efficiency, and optimizing operating expenses remain key priorities.
X. References
- Investopedia. Horizontal vs vertical analysis.
- Corporate Finance Institute. Ratio Analysis.
- SEC EDGAR Filings – Target Corporation.
- Target 10-K & 10-Q Footnotes on Revenue & COGS.
- FE Training – Liquidity Ratios.
- Warren Buffett Accounting Principles.