financial management ii discussion question

This is a two part assignment. A discussion question and an excel worksheet.

Putting Cash to Work

Locate and post a recent news story from The Wall Street Journal or other reputable source about a publicly-traded company that has been criticized for its cash management practices.

  • What were the criticisms leveled against the company? Was it accused of being too conservative and hoarding too much cash, or of taking unnecessary risks, or something else?
  • How did the CFO or CEO address this criticism?
  • How has the stock performance been impacted by these cash management practices?
  • What are three ways, other than revenue growth, that the company could generate significant cash growth? Hint: take a look at the cash flows.


Additional Part: Complete the Assignment 2 Worksheet to compare key performance metrics and ratios for both companies in order to see how performance can be impacted by manipulating certain financial levers.