Corporate Finance-II

PGDM: Assignment-1 Investment Analysis Dr.RanaPratap

This assignment helps you to understand the concepts of capital budgeting techniques and its applications.
The cut-off time and date for submission is before 5pm on 24th Feb,2020. The assignment questions are
based on the case “Stryker Corporation: Capital Budgeting”.

1. List out all the capital budgeting techniques and briefly explain how you will take the decisions
based on those techniques. You can also write the accept or reject criterial for all the techniques.
2. Read the Stryker Corporation 2019-2020 annual report and highlight some recent capital
budgeting decisions taken by the firm.
3. What are the missions of CERs and the capital budgeting process at Stryker? To what extent have
they been shaped by elements of corporate finance theory? To what extent are they shaped by
Stryker’s particular industry, history, and culture?
4. What are the primary strengths and weaknesses of the current system? How should the
performance of such a system be evaluated?
5. Given Stryker’s strategy and its long-run goals, what modifications to the current system-
analytical, organizational, and/or procedural- would you recommend? Develop some specific
proposals and be prepared to explain how they address specific problems.

Report Format:
• Need to upload one-word file in the Moodle, i.e. Report (word format) and the same file need to be
uploaded in the Turnitin account also.
• You can follow the font style and size as Times New Roman, Headings 14 and body of the text 12.
• The assignments are having weightage of 10% of total evaluation, so the report should be very clear
and in good format.
• It is an individual assignment and don’t invite troubles by coping from others.

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