10:14 ill 4G Back BWFF3053 A212 FINAL GROUP... Final Group Project Problem based learning and Report writing The project is graded based on the report (30%) and presentation of the project (10%). You are required to compute and analyse a financial distress company (PN17). The required analyses consist of the following: 1. Financial statements/ financial analysis (10 years prior to the PN17 status). You are required to find out the year the company falls into financial distress mode (z-score below 1.81). For financial performance comparison purposes, use the average of top 5 companies within the same industry (10-year financial statements) 2. You are required to: i. Compute all relevant financial statements ratio analysis to determine the cause of financial performance decline of the chosen PN17 company. ii. Altman Z-score (10 years prior to the PN17 status) ii. Altman Z-score for the year when the company falls into PN17 status. iv. Take the last available Z-score as a base, recommend possible actions that can be taken based on Excel Solver to improve the Z-score to either the Safe Zone or at least to the Grey Zone as a way to strengthen the financial position as a whole. Note that the recommendations should be reflected in the span of 3 to 5 year-period. v. Utilize relevant ratios or other financial indicators as targets to achieve in Solver's constraints in turning around the company. Ensure that those targets are achievable and justify the use of them. (Hint: the more target constraints, the better would be the results). vi. Link up both income statement and balance sheet, with the last Z-score model, to ensure that you get logical results to turn around the company. vii. Prepare 5-year pro-forma financial statements to show your gradual improvements of the company's financial health. You are required to provide sensible assumptions and/or justification to justify the parameters used to construct the pro forma. Note that the assumptions and/or justification need to be consistent with industry outlook and supported by tangible growth opportunity. vii. List down all assumptions and parameters in order to prepare the proformas. From the above analyses, prepare a report according to the following guidelines. 1. Table of Contents 2. Introduction a. Background of the company 6. State the problem statement c. Research questions d. Research objectives e. Contents of the tonowing chapters 10:14 ill 4G Back BWFF3053 A212 FINAL GROUP... Final Group Project Problem based learning and Report writing The project is graded based on the report (30%) and presentation of the project (10%). You are required to compute and analyse a financial distress company (PN17). The required analyses consist of the following: 1. Financial statements/ financial analysis (10 years prior to the PN17 status). You are required to find out the year the company falls into financial distress mode (z-score below 1.81). For financial performance comparison purposes, use the average of top 5 companies within the same industry (10-year financial statements) 2. You are required to: i. Compute all relevant financial statements ratio analysis to determine the cause of financial performance decline of the chosen PN17 company. ii. Altman Z-score (10 years prior to the PN17 status) ii. Altman Z-score for the year when the company falls into PN17 status. iv. Take the last available Z-score as a base, recommend possible actions that can be taken based on Excel Solver to improve the Z-score to either the Safe Zone or at least to the Grey Zone as a way to strengthen the financial position as a whole. Note that the recommendations should be reflected in the span of 3 to 5 year-period. v. Utilize relevant ratios or other financial indicators as targets to achieve in Solver's constraints in turning around the company. Ensure that those targets are achievable and justify the use of them. (Hint: the more target constraints, the better would be the results). vi. Link up both income statement and balance sheet, with the last Z-score model, to ensure that you get logical results to turn around the company. vii. Prepare 5-year pro-forma financial statements to show your gradual improvements of the company's financial health. You are required to provide sensible assumptions and/or justification to justify the parameters used to construct the pro forma. Note that the assumptions and/or justification need to be consistent with industry outlook and supported by tangible growth opportunity. vii. List down all assumptions and parameters in order to prepare the proformas. From the above analyses, prepare a report according to the following guidelines. 1. Table of Contents 2. Introduction a. Background of the company 6. State the problem statement c. Research questions d. Research objectives e. Contents of the tonowing chapters