The manager of Sensible Essential Consulting conducted an excellent seminar explaining debt and equity financing and how firms should analyze their cost of capital. Nevertheless, the guidelines failed to fully demonstrate the essence of the cost of debt and equity, which is the required rate of return expected by suppliers of funds.
You are the Genesis Energy accountant and have taken a class recently in financing. You agree to prepare a PowerPoint presentation of approximately 6–8 minutes using the examples and information below:
Jones Total Assets
Long- & short-term debt
Common internal stock equity
New common stock equity
Total liabilities & equity
Develop a 10–12-slide presentation in PowerPoint format. Perform your calculations in an Excel spreadsheet. Cut and paste the calculations into your presentation. Include speaker’s notes to explain each point in detail. Apply APA standards to citation of sources. Use the following file naming convention: LastnameFirstInitial_M4_A2.ppt.
By the due date assigned, deliver your assignment to the Submissions Area.
Assignment 2 Grading CriteriaMaximum PointsCalculated the expected interest rate (cost of debt).40Calculated the expected rate of return on Jones’s stock (cost of equity).40Wrote in a clear, concise, and organized manner; demonstrated ethical scholarship in accurate representation and attribution of sources; displayed accurate spelling, grammar, and punctuatio