In this project, you will be required to apply the concepts thatyou have learnt in the course to arrive at real-world solutions.The project has been divided into multiple smaller questions inorder to test your ability to think all the steps and attention todetail.
In this project, you would represent a business magnate who hasdecided to expand his growing portfolio of companies. Already a keyplayer in the automotive industry, now you're planning to step intoEVs or all-electric vehicles. For this next stage of your plan, youare looking for battery manufacturers who might help you inestablishing the production facility.
One of your friends told you about the Green EnergyCompany. It is a small business that has been in the batterymanufacturing business for the past 20 years. In this project, youwould be evaluating the company for its worth and taking a decisionon whether or not you should buy it. In another case, you will alsobe evaluating a few projects to decide on the next investment forthe company. Finally, you will take an investor's perspective todecide if the current performance of the company makes it alucrative investment opportunity or not.
Below is the balance sheet of Green Energy Company.
Question 1
Before moving on to evaluating the company, let's modify thebalance sheet to simplify our further calculations. Use the balancesheet template provided to create a balance sheet showing capitalemployed on the left and invested capital on the right side. Theoriginal balance sheet has been attached below thequestion.
BALANCE SHEET Capital Employed (in Lakhs) Operating Assets Non-Operating Assets Invested Capital (in Lakhs) Owner's equity Debt
D B Current Assets 1 5 5 Total 9 Non-Current Assets Assets (in Lakhs) Cash Accounts receievables Supplies Other current assets Long-term receivables Other assets Plant and equipment BALANCE SHEET 3042 24701 18958 1272 40790 10332 247101 Current Liabilities Non-Current liabilities Equity 346196 Total Liabilities (in Lakhs) Loans payable Accounts payable Taxes payable Long term debt Deferred income tax liabilities Other long term obligations Stocks Other income 17258 37268 2612 40810 27244 22476 191794 6734 346196
In this project, you will be required to apply the concepts that you have learnt in the course to arrive at real-world s
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