LM 0736334 Financial Statement Analysis and Business Valuation

Supplementary Individual Assignment 1

July/August 2024

The following questions are the supplementary individual assignment 1.  You are required to write a 2,000 words essay, which addresses the following five questions. Total marks of this supplementary assignment is 100%, however, its weight is capped at 50% of your overall resit performance.

As a Societe Generale analyst, you explain your client about how to evaluate the credit status of a target investment firm in order to help him/her making investment decision. The topics you prepare for him/her are: (i) what is the relationship between credit analysis and profitability analysis?  (ii) What are the procedures of credit analysis? (iii) What are the quantitative methods of credit analysis and the pros and cons of these methods?  (iv) What kind of qualitative factors do analysts need to consider? (v) In your opinion, whether quantitative methods or qualitative factors are more important to your analysis.  Why?