1. Taking into account all of the available information that an analyst can access to assess a company for a potential investment, an analyst will consider investing in the equity of a company or in the company’s debt. To analyze an investment in debt, an analyst will consider assessing the company’s credit risk. This will involve an analysis of the company’s ability to pay its debts. Review the four groups of quantitative factors in credit analysis. Choose two of the four and explain how they relate to the company’s credit risk.
** 350 Words**
2. To analyze an investment in the equity of a company, there are a number of processes available. One particular process discussed in your text, known as back-testing, uses historical data to calculate potential returns if a particular strategy was used. Like many processes, there are limitations to consider. Choose one of the three limitations listed in your text and explain how it may impact your own analysis of the company you chose in Week 1.
*** 350 Words***
COMPANY: BOEING AEROSPACE
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