Part A

1. Compute the following ratios for the selected company and its competitor for the most recent three years.
2. Critically evaluate the selected company’s performance for the selected period in terms of:
   (i) Profitability
   (ii) Shareholder wealth maximisation.
3. (a) Critically evaluate the firm’s financial risk based on your research on the firm and findings in Part 1. Assess whether the selected company can afford to take on more debt.
   (b) Using capital structure theories, critically discuss whether an increase in the company’s debt level would create more value to the shareholders.
4. a) Based on the relevant data over the last three years, describe the company’s dividend payout policy. Based on empirical evidence, evaluate whether dividends increase the value of the  selected compan
   (b) In the case of your selected company, critically discuss whether share repurchase is an effective way to increase shareholder value.