Takes one of the 30 DJIA companies and using the notes to the financial statements, gathers information as to the type and maturities of the debt instruments used. Develop a paper assessing whether or not this company is using an appropriate capital structure.
See attached file.
Please find the necessary information in the attached word file. I have chosen Wal-mart from the DJIA comapnies. I have used annual report 2008 to analyse the type and maturities of the debt instruments used by Walmart. Further I have compared capital structure ratios to industry average to assess whether Walmart is using an appropriate capital struture or not. I think as you have to write only 350 words, this much information should be sufficient.
Debt type Amount
Commercial Paper $ 5040 m
Long term debt due within one year 5913
Capital leases 3919
Long term debt 29799
The solution uses Wal-Mart for a 30 DJIA company to analyze debt instruments. A paper assessing whether or not this company is using appropriate capital structure is developed.