Evaluation of Corporate Performance – Starbucks (SBUX)

· 
Pro Forma financial
statements (Balance Sheet and Income Statement) for the next two fiscal years,
assuming a 10% growth rate in sales and Cost of Goods Sold (COGS) for each of
the next two years.

· 
Complete ratio analysis
for the last fiscal year using at least two ratios from each of the following
categories:

 a.Liquidity
 b.Financial leverage
 c.Asset management
 d.Profitability
 e.Market value

· 
Calculate Return on
Equity (ROE) using the DuPont system.

· 
Assess management
performance by calculating Economic Value Added (EVA).

· 
Review of the soundness
of the company’s financial policies (e.g. capital structure, debt, leverage,
dividend policy, etc.) based on the material covered during class.

· 
A synopsis of your
findings, including your recommendations and rationale for whether or not to
purchase stock from this company.